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The large Toyota dealership I was last at offered a simple interest loan. I thought this must have been an unfortunate misuse of the word “simple” in a loan con
by fmakunbound 5y ago
The large Toyota dealership I was last at offered a simple interest loan. I thought this must have been an unfortunate misuse of the word “simple” in a loan context, but I pressed him further and he definitely meant “simple interest” as in the one high school maths teachers warn you against.
Of course I agreed and payed it off the same week, but these loans must be targeted toward the uneducated or poor.
- ryathal 5y agoMost loans are simple interest, or "compounded" monthly with a payment greater than the interest so there is no compounding. This is generally good for the consumer, you don't want interest compounding against you. Is it possible you meant interest only loan?