Legal Analysis: Pledged loan bears interest, and the loan interest is calculated according to the loan interest of the same period stipulated by the People's Bank of China. In case of interest adjustment during the loan period, the interest shall be calculated according to the contract interest rate, and the interest shall not be calculated by stages. If the loan term is less than 6 months, the interest shall be calculated according to the grade of 6 months. The loan term can be freely selected within 1- 12 months. The loan interest shall rise moderately in accordance with the benchmark interest rate of loans of the same grade in the same period stipulated by the People's Bank of China. If the actual term of the loan is less than 30 days, the loan interest will rise by 30% on the basis of the benchmark interest rate.

According to different repayment methods, the algorithm of interest is also different, but the basic algorithm is as follows:

1, current month loan interest = remaining principal of last month * current month loan interest.

2. Principal paid in the current month = repayment amount in the current month-loan interest in the current month.

3. Remaining principal of last month = total loan amount-accumulated principal repayment.

Legal basis: Article 674 of the Civil Code of People's Republic of China (PRC) stipulates that the borrower shall pay interest within the agreed time limit. If the time limit for paying interest is not stipulated or clearly stipulated, and cannot be determined according to the provisions of Article 510 of this Law, if the loan period is less than one year, it shall be paid together with the loan; If the loan term is more than one year, it shall be paid at the end of each year; if the remaining term is less than one year, it shall be paid together with the loan.

If the annual interest rate is 5.6%, the loan interest = loan principal * annual interest rate * loan time =10000 * 5.6% *1= 560 yuan.