Common use of Compound interest Clause in Contracts

Compound interest. If default is made in payment of interest at any time appointed for payment thereof, interest shall be payable thereon and the sum in arrears for interest from time to time, as well after as before maturity or judgment, shall itself bear interest at the Interest Rate, and in case the interest and compound interest are not paid on the next Payment Date after the date of default, compound interest at the Interest Rate shall be payable on the aggregate amount then due, as well after as before maturity or judgment, and so on from time to time, and all such interest and compound interest shall be added to the monies secured by this Mortgage and form a charge on the Lands.