I expected 12%/12 months=1% of interest on this loan, hence 0.10 euro. So far I have received 0.02 euro of interest payments and 1 cent late fee.
And now, this loan's detail page is 404'ed and thus I have to conclude that this loan is closed as far as Viventor is concerned. How can this be? I think a lendee can repay the loan early and pay lower interest, correct? Even if so, the late payment indicates there was no early repayment...
swift, as ben is correctly pointing out - the moment when you entered in the loan matters. A very simple example: if you held a loan part generating 12% annual interest for 10 days, the return will be 12% x 10/365.
I see. So how would that work if I sell a loan on the second market? Do I get a partial interest payout even before the day of scheduled payment?
I had the loan from 25-Apr-16 til 02-May-16. That's 8 days.
8/365 * 12% * 10.00 = 0.0263 euro.
Your platform works with 2 digits instead of 4 which I may add is the financial industry's standard for these small amounts. Just go to any decent stock sites and look at a stock below 1. It will be noted with more than 2 digits. 0.0263 euro should round to 0.03, and I got 0.02. Unless it's not 8 days but 7 days + 1 day for updating the book. In that case it would be 0.0230 euros which rounds to 0.02. How is this done on Viventor? How can I be assured the calculation is correct?
If you sell the loan on the Secondary Market, you receive the part of interest for the period of days you held the investment. The interest is paid, when a borrower repayment is received.
We also work with more than 2 digits behind the coma, and the computations in our back-end go up to 9 digits behind coma. Unfortunately, we cannot provide you access to our back-end system so that you can verify this for yourself.