Common use of Interest on Principal Sum Clause in Contracts

Interest on Principal Sum. The Corporation shall pay to the Holder, by depositing to the Payment Account, Interest on the Principal Sum at a rate equal to the Interest Rate. Such Interest is payable in arrears on each Interest Payment Date for the Interest Period immediately concluded, which includes such Interest Payment Date, and shall be calculated on a daily basis and on the basis of the actual number of days elapsed in a year of 365 days.