How is the entitlement to payment of part of the principal from the held investment calculated?
September 22, 2024
With each instalment paid by the borrower, the investor is entitled to a repayment of a portion of the principal according to the current principal interest held in the loan. The right to payment of principal shall always arise in full for the entire period between repayments in line with the repayment schedule. For the payment of the principal part, the holding period of the investment is not taken into account as in the case of the interest part.
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