If the interest-bearing period is a whole year (month), the interest-bearing formula is:
Interest = principal × year (month )× year (month)
Interest rate+principal × odd days× daily interest rate. At the same time, banks can choose to convert all interest-bearing periods into actual days to calculate interest, that is, 365 days per year (366 days in leap years), and each month is the actual number of days in the Gregorian calendar of the current month. The interest-bearing formula is as follows:
Interest = principal × actual days × daily interest rate
The calculation formula is essentially the same, but because the interest rate conversion is only 360 days a year. However, when calculating the actual daily interest rate, it will be calculated according to 365 days a year, and the result will be slightly biased. Which formula is used specifically, the central bank gives financial institutions the right to choose independently. Therefore, the parties and financial institutions can agree on this in the contract.
Extended data:
Banks can use product interest method and transaction interest method to calculate interest.
The product interest method accumulates the account balance daily according to the actual number of days, and multiplies the accumulated product by the daily interest rate to calculate the interest. The interest-bearing formula is:
Interest = cumulative interest-bearing product × daily interest rate, where cumulative interest-bearing product = total daily balance.
The transaction-by-transaction interest calculation method calculates interest one by one according to the preset interest calculation formula: interest = principal × interest rate × loan term, with three details:
If the interest-bearing period is a whole year (month), the interest-bearing formula is:
① Interest = principal × year (month )× year (month) interest rate
If the interest-bearing period is a whole year (month) and days, the interest-bearing formula is:
② Interest = principal × annual (monthly) × annual (monthly) interest rate+principal × odd days × daily interest rate.
Baidu encyclopedia-loan interest rate