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I have a question regarding the calculation for interest.
If I had an APR (Variable) but the interest is based on an APR of 13%.
The loan balance is £6850 and the interest worked out at £2501.60 with monthly repayments of £155.86 over 60 months
When I worked out the APR each month on an excel spreadsheet I get the interest to be £2499.69 and that would leave a final payment of £153.95
Is it normal practice to just make the final payment the same and increase the interest charge. In this case the difference between my interest and theirs is £1.91, the same difference between a final payment of £153.95 and £155.86, thanks
If I had an APR (Variable) but the interest is based on an APR of 13%.
The loan balance is £6850 and the interest worked out at £2501.60 with monthly repayments of £155.86 over 60 months
When I worked out the APR each month on an excel spreadsheet I get the interest to be £2499.69 and that would leave a final payment of £153.95
Is it normal practice to just make the final payment the same and increase the interest charge. In this case the difference between my interest and theirs is £1.91, the same difference between a final payment of £153.95 and £155.86, thanks
