How to calculate loan late fees
Loan late fees are the so-called overdue fines. Generally, loans are charged on a daily basis, and the interest rate charged is 30%-50% higher than the original loan interest rate. That is, late payment amount = overdue amount * (loan interest rate +30% to 50%)* overdue days.
Let's explain how to calculate the late fee for borrowing: 2000 yuan in cash is borrowed in the loan arrangement and repaid in 18 installments, and the monthly repayment amount is 133.4 yuan. If the repayment is not made on time in the current month, there will be a late payment fee of 133.4 * 0.5 = 0.67 yuan per day, and the late payment fee for one month is 20 1 yuan, accounting for one sixth of the principal, which cannot be said to be low.
The late fees for loans often include the liquidated damages, and detailed liquidated damages are required in the loan contract, which is a disguised charge and greatly increases the repayment pressure of the repayment person. Especially for friends who have a long overdue process, the late payment fee charged by the loan arrangement will be terrible, even several times the principal.
At present, many loan arrangements will choose to stop the late payment fee, and only charge interest for loans with long overdue process, and friends with real financial difficulties can also be exempted from some interest. Friends who have overdue loans must repay them as soon as possible, so as not to have too many late fees to be returned.
What should loans overdue know about repayment?
At present, the People's Bank of China requires a penalty interest of 30%-50% on the basis of the original loan interest rate. The so-called late payment fee is composed of fines for overdue loans, and the legitimacy of loan late payment fee comes from overdue penalty interest.
Therefore, loans overdue's payment has its legitimacy. However, the "sky-high" late fees charged by many small loans are four times higher than the bank interest, which exceeds the planning required by the central bank and is illegal. The borrower has the right not to pay the overdue fine for loans exceeding the requirements of the central bank. If the loan arrangement is stubborn, he can bring a lawsuit to the court. However, many borrowers feel that the late payment fee is very high because their loans overdue is too long, and the late payment fee is calculated according to the number of days overdue and calculated with compound interest, which is a "sky-high" fee.
Many small loan contracts have signed a breach of contract requirement in advance, which states that the borrower will pay liquidated damages after the deadline, and the liquidated damages are often protected by laws and regulations, so it is necessary for the borrower to pay.
Everyone knows how to calculate the loan late fee, so they must understand that they should consider their acceptance when lending. If they can't pay back the money, they shouldn't get into trouble.