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How can daily interest affect a repayment date change?
An agreement that calculates interest by elapsed days may respond to timing differently from a monthly illustration.
Moving a date can alter the period covered by a payment.
Ask for the revised schedule and calculation before agreeing. Keep payment timing and rate assumptions together instead of rounding every period to an identical month.
Prepare a question about a loan charge
Collect the date, amount and contractual wording, then follow the provider's relevant enquiry process.
Definitions
- Nominal interest rate
- Stated rate used to calculate interest under the agreement; it does not describe every other charge.
- Annual comparison measure
- Annualized disclosure used to compare borrowing costs; its calculation and included charges depend on the jurisdiction and product.