The date your payment is received impacts the amount of interest you pay because of daily simple interest.
- As soon as the total due is gotten ahead of your due date less interest accrues and much more of the re re payment is used to major, decreasing the loan’s balance that is principal.
- If the total due is gotten after your date that is due more accrues and less of one's re payment is used to major.
Exemplory instance of the way the date my re payment is gotten effects my loan(s):
|Major stability ||deadline ||Total due ||regular interest |
|$6,000 ||25th ||$100 ||$1.15 |
- The repayment will first be used to accrued interest of $34.50 in addition to remaining $65.50 could be placed on the main stability, decreasing the key stability to $5,934.50 if $100 is gotten regarding the 25th associated with thirty days.
- If $100 is received on the 20th of the thirty days (before the date that is due, five days’ less interest would accrue regarding the $6,000 stability. The re re payment will first be reproduced to accrued interest of $28.75 as well as the staying $71.25 is placed on the balance that is principal decreasing the key stability to $5,928.75.