Many thanks FB....>> Give me the interest rate, time (days) and I will tell you the interest on
>> say £1,000
>> You can then multiply the amount by the loan amount
>>
Some misinformation in my original post, in which I said “interest rate calculated daily”.
It’s a fixed rate of 8% for the full term of the loan, and the first tranche, with interest, is due to be repaid after 940 days.
It was a small brownfield site and the residential development has taken longer than expected, but that’s ok, I’ve had no major financial outgoings since I made the loan, apart from a privately funded hip replacement. At the moment I don’t know if tax will be deducted at source or if I’ll have to resume tax returns for HMRC. Don’t suppose there’s any way out of paying 20% tax on the interest :(
The contract states “ The loan will carry interest at the rate of 8 per cent per annum from the date of drawdown until repayment on a pro rata basis”, so I’m assuming Simple Interest rather than Compound. I probably clarified that back in 2021 but cannot find any note I made at the time.
Appreciated
Last edited by: legacylad on Tue 12 Mar 24 at 10:42
