When Interest Begins to Accrue Clause Samples
The "When Interest Begins to Accrue" clause defines the specific point in time at which interest charges start accumulating on a principal amount, such as a loan or overdue payment. Typically, this clause will specify whether interest accrues from the date of disbursement, the due date of a payment, or another event, ensuring both parties are clear on when financial obligations begin to increase. Its core function is to eliminate ambiguity regarding interest calculations, thereby preventing disputes and ensuring both parties understand their financial responsibilities.
When Interest Begins to Accrue. Interest charges on purchases and cash advances will be imposed at the applicable Daily Periodic Rate from the date each purchase or cash advance is made and will continue to accrue on unpaid balances as long as they remain unpaid subject to any applicable Grace Period. No interest charge on purchases or cash advances will be imposed for any billing cycle in which the previous balance is zero or a credit balance or is received in full by the payment due date shown on the statement for the previous billing cycle. Finance Charge Calculation: *Method E - Average Daily Balance (excluding current transactions): To avoid incurring an additional finance charge on the outstanding balance reflected on your statement, you must pay the new balance shown on your statement on or before the payment due date or within the applicable Grace Period. The Finance Charges for a billing cycle are computed by applying the Daily Periodic Rate to the “average daily balance” of purchases (and if applicable, cash advances). To get the average daily balance, we take the beginning balance of your account each day and subtract any payments, credits, non-accruing fees, and unpaid finance charges. We do not add in any new purchases or cash advances. This gives us the daily balance. Then we add up all the daily balances for the billing cycle and divide the total by the number of days in the billing cycle. Your current cycle activity is excluded from the finance charge calculation. One and two billing cycles ago are included in the balances. The Holder may avoid additional Interest Charges on an account by paying in full the New Balance shown on the account’s statement by the payment due date or within the applicable Grace Period after the Closing Date for that statement.
When Interest Begins to Accrue. Interest on credit advances under ▇▇▇▇▇▇▇▇’s Credit Line will begin to accrue on the date of the credit advance. There is no “grace period” which would allow Borrower to avoid paying interest on ▇▇▇▇▇▇▇▇’s Credit Line credit advances.
When Interest Begins to Accrue. Interest begins to accrue on the business day the deposit is made for all cash deposits. • Interest begins to accrue within 3 business days of your non-cash deposit depending on the float assigned. • If you close your account before interest is credited, you will receive all accrued interest of your account’s prior days balance. Interest Checking • Interest is accrued daily on the collected balance, com- pounded monthly, and credited to your account on the last day of your monthly statement cycle. • Interest is accrued daily on the collected balance, com- pounded monthly, and credited to your account on the last day of your monthly statement cycle.
When Interest Begins to Accrue. Interest begins to accrue on the business day the deposit is made for all cash deposits. • Interest begins to accrue within three business days of your non-cash deposit depending on the float assigned. • If you close your account before interest is credited, you will receive all accrued interest of your account’s prior days’ balance.
When Interest Begins to Accrue. Except as provided below, interest on Purchases, Cash Advances and Balance Transfers will accrue from the date of the transaction (or, at our option, from the date they are posted to your Account). Purchases –You will not have to pay interest on Purchases if you pay your New Balance in full by the Payment Due Date shown on your Monthly Statement, which shall not be less than 22 days after the close of the billing cycle. Cash Advances and Balance Transfers – Unless otherwise disclosed in a promotional offer, there is no period in which credit extended may be paid without incurring interest on Cash Advances or Balance Transfers.