webwiz
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Post by webwiz on Oct 2, 2014 8:24:20 GMT
This may seem rather churlish, but I don't agree with their interest calculation. It is not so much the few pence difference but I imagine it is calculated by their computer and it is slightly worrying if it gets it wrong.
£2000 invested on 23/9.
Assume no interest for first day, so 7 days
£20 x 7 / 30 = £4.66 rounded down
Actual interest paid £4.60
Where's my 6p?
Edit: Forget it, they use an annual calculation so £20 x 12 x 7 / 365 = £4.60
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Post by gaspilot on Oct 2, 2014 8:32:30 GMT
I wonder if it's because you are using a month with 30 days in it and the interest is calculated over a year.
So - £2000 at 12% per year = £240 per year.
per day that's £240/365.
So, for 7 days your interest is (7*240)/365 = £4.60
That would be my best guess.
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webwiz
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Post by webwiz on Oct 2, 2014 8:37:24 GMT
OK, but there site does say when you make an investment, something asking you to confirm that you want to invest at 1% per month. This should really be changed to 12% per year.
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ramblin rose
Member of DD Central
“Some people grumble that roses have thorns; I am grateful that thorns have roses.” — Alphonse Karr
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Post by ramblin rose on Oct 2, 2014 9:05:28 GMT
OK, but there site does say when you make an investment, something asking you to confirm that you want to invest at 1% per month. This should really be changed to 12% per year. I can see what you are saying webwiz, but that just seems to be the terminology that these short term loans tend to use in general throughout the industry - pawnbrokers and bridging loan companies tend to use the x% per month. I'm pretty sure they all mean per 'average' month, being 365/12. The loan description does clearly say 12%pa.
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webwiz
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Post by webwiz on Oct 2, 2014 17:50:47 GMT
Yes, probably being pedantic.
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