New Contract Terms - Monthly Interest Query

[northernladyuk]

Thank you all for your input. I accept that I am a doofus.

That's something. The old man has to get his accountant to tell him once a month.

[Helibo]

Thank you all for your input. I accept that I am a doofus.

[BrilloPad]

How To Calculate Late Payment Interest & Compensation - Pay on Time

So it is simple not compound UNLESS the contract states compound.

[northernladuk]

I was considering using the above term but I want to make sure our terms are easy to calculate and unambiguous. Would the above term and rate be acceptable and deemed fair and lawful? Any comments are gratefully received.

Many thanks,

H.

Bearing in mind you can't work out the answer to your own term wouldn't that mean it fails the criteria you've set yourself in the first sentence?

[pr1]

Hi,

Happy New Year to all. I am currently compiling some company terms for 2018 and I have come across another companies interest terms which state:-

'We may charge interest at a rate of 4 percent over Base Lending Rate per month, on a daily basis on overdue accounts'

Is interest therefore compounded monthly? Also if interest charges begin on 26th Sept and payment is received on 6th Oct do I calculate interest at 4.5% / 30 days x 5 days (Sept) + 4.5% / 31 days x 6 days (Oct)? Sorry to ask.

I was considering using the above term but I want to make sure our terms are easy to calculate and unambiguous. Would the above term and rate be acceptable and deemed fair and lawful? Any comments are gratefully received.

Many thanks,

H.

may be worth having a read of Interest Calculator - Calculate Late Payment Interest - Pay on Time

[Helibo]

Hi,

Happy New Year to all. I am currently compiling some company terms for 2018 and I have come across another companies interest terms which state:-

'We may charge interest at a rate of 4 percent over Base Lending Rate per month, on a daily basis on overdue accounts'

Is interest therefore compounded monthly? Also if interest charges begin on 26th Sept and payment is received on 6th Oct do I calculate interest at 4.5% / 30 days x 5 days (Sept) + 4.5% / 31 days x 6 days (Oct)? Sorry to ask.

I was considering using the above term but I want to make sure our terms are easy to calculate and unambiguous. Would the above term and rate be acceptable and deemed fair and lawful? Any comments are gratefully received.

Many thanks,

H.