Calculating PDL interest in TN
Date: Fri, 03/02/2007 - 13:48
The law says:
Loan Terms:
Maximum Loan Amount: $500
Loan Term: Max: 31 days
Maximum Finance Rate and Fees: the lesser of 15% of the check or $30
Finance Charge for 14-day $100 loan: $17.65 apr for 14-day $100 loan: 459%
Here's how to calculate it per the Tennessee Department of Financial Institutions.
For a $300 loan you:
1. Multiply $300 by 15%
300 x .15 = 45
2. Compare to $30. Chose whichever number is the lesser number and add it to the principle amount of the loan.
45 > 30, so $300 + $30 = $330
The $30 is considered the fee for the loan.
3. Take that number and multiply by 15%.
$330 x .15 = 49.50
This is your legal interest.
4. $330 + $49.50 = $379.50 = This is the legal amount a pdl in TN could charge you.
This was kinda confusing so I thought I'd post it for all to see.
Loan Terms:
Maximum Loan Amount: $500
Loan Term: Max: 31 days
Maximum Finance Rate and Fees: the lesser of 15% of the check or $30
Finance Charge for 14-day $100 loan: $17.65 apr for 14-day $100 loan: 459%
Here's how to calculate it per the Tennessee Department of Financial Institutions.
For a $300 loan you:
1. Multiply $300 by 15%
300 x .15 = 45
2. Compare to $30. Chose whichever number is the lesser number and add it to the principle amount of the loan.
45 > 30, so $300 + $30 = $330
The $30 is considered the fee for the loan.
3. Take that number and multiply by 15%.
$330 x .15 = 49.50
This is your legal interest.
4. $330 + $49.50 = $379.50 = This is the legal amount a pdl in TN could charge you.
This was kinda confusing so I thought I'd post it for all to see.
Thanks goudah! apr is very confusing to work out. That info wi
Thanks goudah! apr is very confusing to work out. That info will help many I'm sure.
it should say in the documents that you sign for the loan how mu
it should say in the documents that you sign for the loan how much the interest they charge for the loan on the paperwork.
It does, but that doesn't mean that they are following the laws
It does, but that doesn't mean that they are following the laws that they should.
my state is the same as tn so my loan was $200, so tell me if I
my state is the same as tn so my loan was $200, so tell me if I did my math right
$200 x .15 = 30
$200 + 30 = $230
$230 x .15 = $34.50
$230 + $34.50 = 264.50
I have paid
71.43
71.43
70.00
------
212.86
So I owe them $51.64?
That would be correct as long as your state laws were the same a
That would be correct as long as your state laws were the same as TN . . . . What state are you in?