Every repayment does two jobs: it covers the interest for the period and it reduces what you owe. Seeing the split matters for your accounts (interest is a finance cost) and for judging whether to overpay.
Where to see the split
- Your repayment schedule shows the interest and capital portion of each payment.
- Your statement shows interest charged in the period alongside repayments received.
- A period export lets you total the interest for your accounts.
What it tells you
Early in a term, more of each payment tends to be interest; later, more is capital — though on a simple-interest facility the pattern is transparent and predictable, not front-loaded with hidden charges. If you want to cut the interest portion, overpaying reduces the balance it’s calculated on. Your accountant treats the interest as a finance cost; the capital is just repaying the debt.
Your facility is priced with simple interest and the figures fixed up front on your Key Information Sheet, so nothing here changes what you owe by surprise — it only changes how you view, manage or evidence it.
See also: How to read your repayment schedule, How to understand the interest on your statement, How to get the total interest figure for your tax return.