Quote:
Originally Posted by Maker
One year of interest percentage = interest / principal (x100)
Looking at the next few years' numbers shows nonsense. Interest percentage value is changing yearly.
Oddly, the admin fee changes slightly every year. So does the total payment amount. This must be some sort of new math.
1252.40 / 30318.37 = 4.13083%
1234.64/29780.71 = 4.14577%
1216.28/29225.45 = 4.16172%
1195.63/28650.99 = 4.17308%
and in 2031... 1010.5 / 23968.9 = 4.2158%
and in 2049... 113.34 / 3429.17 3.30517%
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The admin fee appears to be a fixed percentage of the payment (principal+interest). It comes out to 7.07% for unit 20V but the percentage on my bond is less.
You would expect the fee to be a fixed amount because you would expect the payment to be a fixed amount. But as you show here, the effective interest rate varies, the payment varies, and therefore the admin fee varies.
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