My Prepayment Test
Now all this work given information would not fall into line in what other people regarding the WCI Forum appeared to think about prepaying loans under RePAYE. Therefore, we place prepaying towards the test:
- Present Principal: $149,734
- Interest at Starting of Test: $1,864
- Daily Interest Accrual at 5.5%: $22.56
- Monthly Interest Accrual at 5.5per cent: $676.88 (1 month)
- Monthly Interest Accrual at 2.75percent: $338.44 (thirty days)
According to my day-to-day interest accrual additionally the information supplied by the FedLoan Servicing employee, I paid $30 (to make sure I had been over the interest accrual on any given day) at three various points within the loan cycle that is monthly.
We paid $30 on a day that is random see if the complete $30 would get to the principal, if $22 would get towards the interest from that time and $8 would go right to the principal, or if perhaps all $30 would get toward the attention.
All of it went toward the attention.
We paid $30 in the time that the attention subsidy had been granted, the day that is first of thirty days. The logic right here had been then perhaps my account would be at $0 of interest accrued that month and all of my payment would go towards the principal if FedLoan Servicing was applying the interest subsidy the first of every month.
All of it went to the interest
I paid $30 at the time just after my real scheduled re payment due date. Understand that my required monthly payments every month are $0, so my way of thinking ended up being that maybe FedLoan Servicing would process my $0 re payment and therefore will be the date if the month-to-month accrual of interest reset to $0 permitting me personally to spend from the principal. Continue reading