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Standard payment calculation |
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Standard payment calculationA calculation that is used to determine the monthly payment necessary to repay the balance of a home loan in equal installments.Standard payment calculation Similar MatchesRecalculation methodRecalculation methodA method of calculating required minimum distributions from a retirement plan using life expectancy tables. Unisex data tables allow a plan holder to determine the applicable life expectancy each year a distribution is required. Incidence of interest calculationIncidence of interest calculationThe frequency that the outstanding interest and ongoing mortgage repayments are calculated. Charging interest on the outstanding balance of your loan at the end of each day, means you reap immediate benefits of any repayments you make, since you will be charged interest on a smaller debt each day. As long as you are making payments on time, the more often interest is calculated the better for you. This is a common feature of flexible mortgages, but is not restricted solely to them. When interest is calculated annually, repayments are not updated to include the reduction in capital that arises from the payments you make throughout the year. |
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