Accrual of Interest Defaulted Amounts When Payment Date Is Not a Business Day Clause Samples

This clause defines how interest accrues on outstanding amounts, particularly those that are overdue, and clarifies the treatment of payment dates that fall on non-business days. It typically specifies that if a payment is not made by its due date, additional interest will accrue on the defaulted amount until payment is received. Additionally, if a scheduled payment date lands on a day when banks are closed or business is not conducted, the payment is usually deferred to the next business day without penalty. The core function of this clause is to ensure fairness and predictability in financial transactions by outlining the consequences of late payments and providing clear rules for handling payment scheduling issues.
Accrual of Interest Defaulted Amounts When Payment Date Is Not a Business Day. 20 Section 2.06. Registrar, Paying Agent and Exchange Agent. 21
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Accrual of Interest Defaulted Amounts When Payment Date Is Not a Business Day. This Section 2.04 will apply to the Notes in lieu of Section 2.13 of the Base Indenture, which will be deemed to be replaced with this Section 2.04, mutatis mutandis.
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Accrual of Interest Defaulted Amounts When Payment Date Is Not a Business Day. (A) Accrual of Interest. Each Note will accrue interest at a rate per annum equal to 5.50% (the “Stated Interest”), plus any Default Interest, Additional Interest and Special Interest that may accrue pursuant to Sections 2.05(B), 3.04 and 7.03, respectively. Stated Interest on each Note will (i) accrue from, and including, the most recent date to which Stated Interest has been paid or duly provided for (or, if no Stated Interest has theretofore been paid or duly provided for, the date set forth in the certificate representing such Note as the date from, and including, which Stated Interest will begin to accrue in such circumstance) to, but excluding, the date of payment of such Stated Interest; and (ii) be, subject to Sections 4.02(D), 4.03(E) and 5.02(D) (but without duplication of any payment of interest), payable semi-annually in arrears on each Interest Payment Date, beginning on the first Interest Payment Date set forth in the certificate representing such Note, to the Holder of such Note as of the Close of Business on the immediately preceding Regular Record Date. Stated Interest, and, if applicable, Additional Interest and Special Interest, on the Notes will be computed on the basis of a 360-day year comprised of twelve 30-day months.
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Accrual of Interest Defaulted Amounts When Payment Date Is Not a Business Day 
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Related to Accrual of Interest Defaulted Amounts When Payment Date Is Not a Business Day

  • Delay of Payment when Payment Date is Not a Business Day If the due date for a payment on a Note as provided in this Indenture is not a Business Day, then, notwithstanding anything to the contrary in this Indenture or the Notes, such payment may be made on the immediately following Business Day and no interest will accrue on such payment as a result of the related delay. Solely for purposes of the immediately preceding sentence, a day on which the applicable place of payment is authorized or required by law or executive order to close or be closed will be deemed not to be a “Business Day.”

  • Payment Date Other Than a Business Day If any payment with respect to a payment of any principal of, premium, if any, or interest on any Note (including any payment to be made on any date fixed for redemption or purchase of any Note) is due on a day which is not a Business Day, then the payment need not be made on such date, but may be made on the next Business Day with the same force and effect as if made on such date, and no interest will accrue for the intervening period.