how to calculate finance charge on car loan Round Lake Centre

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Pre-computed loans are similar in nature to loans with prepayment penalties, mandating the borrower to pay both the principal and interest even if they pay off the loan early. "Yo-yo" financing. Yo-yo financing happens when you leave with the car, under the impression that you’ve completed the deal.

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Calculating finance charge on auto loans – Excel Help Forum – Re: Calculating finance charge on auto loans I think you need to find out how they calculate the daily interest rate from the annual rate. A daily rate of 0.046209% liquidates the loan at 54 months, with interest computed daily starting from the contract date, and payments made on the same day of the month as the first payment date, but the interest totals 87.29, not $7293.50

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The finance charge not only includes the interest paid on the loan but the fees on the credit checks and other "processing" fees. It’s not just the interest on the loan. So in that $2000 finance charge, that isn’t limited to the interest on the loan.

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