Rule of 78 definition

Rule of 78 s Receivable" means any Receivable under which the portion of a payment allocable to earned interest (which may be referred to in the related retail installment sale contract as an add-on finance charge) and the portion allocable to the Amount Financed is determined according to the method commonly referred to as the "Rule of 78's" method, the "sum of periodic balances" method, the "sum of monthly balances" method or any equivalent method.
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Rule of 78 s Payment" shall mean, with respect to any Precomputed Receivable which provides that, if such Receivable is prepaid in full, the amount payable will be determined according to the Rule of 78's method, an amount (if positive) equal to (i) the amount due allocating payments between principal and interest based upon the Rule of 78's minus (ii) the amount that would be due allocating payments between principal and interest from the date of origination of the Receivable using the Actuarial Method.
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Rule of 78 means the method used to calculate the interest adjustment required to recapture interest owed in the event the Commission elects to early terminate an open-ended contract.
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Examples of Rule of 78 in a sentence

  • All credit accident and health insurance (both individual and group) shall be established and maintained on the basis of not less than the unearned gross premium computed on the basis of the sum of digits formula, common- ly known as the Rule of 78.

  • Sum of the balances method," also known as the "Rule of 78," means a method employed with respect to a transaction to determine the portion of the finance charge attributable to a period of time before the scheduled due date of the final instalment of the transaction.

  • You may become eligible to retire because you reach the Rule of 78, because you are at least 60 years of age, because you have 30 years of service or because you became permanently disabled.

  • An appropriate combination of the pro rata method and the Rule of 78 method or, at the option of the insurer, the pro rata method shall be used for credit life insurance provided as a combination of level and decreasing term coverage and for credit accident and health insurance wherein the insured is covered for a constant maximum indemnity for a given period of time, after which the maximum indemnity begins to decrease in equal amounts per month.

  • These include, but are not limited to, structural and nonstructural controls and operation and maintenance procedures.

  • The refund of any finance charge shall be computed according to the "sum of the balance method", also known as the "Rule of 78".

  • Interest rebate on hire purchase Term charges on hire purchase and leasing transactions are accounted for using the Rule of 78 (sum of digits) method.

  • The above APRs are reference rate which include the basic interest rate and other fees and charges of a product expressed as an annualised rate (if applicable).- The proportion of loan principal to interest in each monthly instalment amount is calculated according to the Rule of 78.

  • If you request early repayment of the Cash Out Amount, we will charge you a terminationfee of HKD500 by direct debit from the Account, which will be shown in the following monthly statement.In such event, any promotional flat rate under this Program shall not be applicable to the total Cash Out Amount, and the Bank shall apportion the interests and the principal for each Repayment Amount (including those already paid to the Bank) in accordance with the Rule of 78.

  • The rebate shall be calculated in accordance with the following Note :* The rebate will be calculated based on the "Rule of 78" or "Sum of Digits" whereby the method of calculation of the proportion of principal and profit payable for the entire Facility assumes that the profit forms a larger percentage of the monthly instalments during the early stage of the financing.


More Definitions of Rule of 78

Rule of 78 s Payment" shall mean, with respect to any Precomputed Receivable which provides that, if such Receivable is prepaid in full, the amount payable
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Rule of 78 s Payment" shall mean, with respect to any Precomputed Receivable which provides that, if such Receivable is prepaid in full, the amount payable will be determined according to the Rule of 78's method, an amount (if positive) equal to (i) the amount due allocating payments between principal and interest based
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Rule of 78 means the mathematical methodology of calculating interest generally known by that name.
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Rule of 78 s Contract” means a Contract whereby the portion of a Scheduled Payment that is allocated to the payment of interest on a Contract is equal to the product of (i) a fraction (measured as of such date of determination), the numerator of which is Rterm of such Loan Contract and the denominator of which is the Fractional Interest Portions of such Contract (measured as of such date of determination), and (ii) the Original Unearned Interest of such Contract. The remaining amount of the Scheduled Payment, after deducting the portion thereof allocable to the payment of interest, is used to reduce the Principal Balance of such Contract.
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Related to Rule of 78

  • Rule means Rule 15c2-12(b)(5) adopted by the Securities and Exchange Commission under the Securities Exchange Act of 1934, as the same may be amended from time to time.

  • Rule 144A means Rule 144A promulgated under the Securities Act.

  • rule making ’ means agency process for formulating, amending, or repealing a rule;

  • Rule 15c2-12 means Rule 15c2-12 under the Securities Exchange Act of 1934, as amended through the date of this Undertaking, including any official interpretations thereof.

  • Rule 144A Global Note has the meaning assigned to it in Section 2.1(d).

  • Rule 144A Letter As defined in Section 5.02(b).

  • Discrimination on the basis of disability means any distinction, exclusion or restriction on the basis of disability which has the purpose or effect of impairing or nullifying the recognition, enjoyment or exercise, on an equal basis with others, of all human rights and fundamental freedoms in the political, economic, social, cultural, civil or any other field. It includes all forms of discrimination, including denial of reasonable accommodation;

  • Rule 3a-7 means Rule 3a-7 under the Investment Company Act.

  • Permanent Regulation S Global Note shall have the meaning specified in Section 2.1(d).

  • Rule 144A Notes means all Notes offered and sold to QIBs in reliance on Rule 144A.

  • 144A Global Note means a Global Note substantially in the form of Exhibit A hereto bearing the Global Note Legend and the Private Placement Legend and deposited with or on behalf of, and registered in the name of, the Depositary or its nominee that will be issued in a denomination equal to the outstanding principal amount of the Notes sold in reliance on Rule 144A.

  • SEC Rule means Rule 15c2-12 adopted by the Securities and Exchange Commission under the Securities Exchange Act of 1934.

  • Average weekly discharge limitation means the highest allowable average of “daily discharges” over a calendar week, calculated as the sum of all “daily discharges” measured during a calendar week divided by the number of “daily discharges” measured during that week.

  • the 1985 Act means the Companies Act 1985;

  • application for international protection means a request made by a third country national or a stateless person for protection from a Member State, who can be understood to seek refugee status or subsidiary protection status, and who does not explicitly request another kind of protection, outside the scope of this Directive, that can be applied for separately;

  • Legended Regulation S Global Note means a Global Note in the form of Exhibit A hereto bearing the Global Note Legend and the Private Placement Legend and deposited with or on behalf of and registered in the name of the Depositary or its nominee, issued in a denomination equal to the outstanding principal amount at maturity of the Notes initially sold in reliance on Rule 903 of Regulation S.

  • Securities Act of 1933 means the United States Securities Act of 1933, as from time to time amended.

  • Rule 3a-5 means Rule 3a-5 under the Investment Company Act.

  • the 1992 Act means the Local Government Finance Act 1992;

  • Rule 144A Global Notes has the meaning set forth in Section 4.2(b)(i) of the Series 2018-1 Supplement.

  • Rule 144A Information means the information specified pursuant to Rule 144A(d)(4) of the Securities Act (or any successor provision thereto).

  • Qualified Election means a Participant's waiver of a Qualified Joint and Survivor Annuity or a Qualified Pre-Retirement Survivor Annuity. Any such waiver must be consented to in writing by the Participant's Spouse. The Spouse's consent must: designate a specific Beneficiary (including any class of Beneficiaries or any contingent Beneficiaries, which may not be changed without spousal consent) or expressly permits designations by the Participant without any further spousal consent; acknowledge the effect of the election; and be witnessed by a member of the Committee or a Notary Public. Additionally, a Participant's waiver of the Qualified Joint and Survivor Annuity shall not be effective unless the election designates a form of benefit payment which may not be changed without spousal consent (or the Spouse expressly permits designations by the Participant without any further spousal consent). Notwithstanding this consent requirement, if the Participant establishes to the satisfaction of a member of the Committee that there is no Spouse or the Spouse cannot be located, a waiver will be deemed a Qualified Election. Any spousal consent (or deemed spousal consent) obtained under this provision will be valid only with respect to such Spouse. A consent that permits designations by the Participant without further consent by such Spouse must acknowledge that the Spouse has the right to limit consent to a specific Beneficiary and, where applicable, a specific form of benefit, and that the Spouse voluntarily elects to relinquish either or both of such rights. A revocation of a prior waiver may be made by a Participant without the consent of the Spouse at any time before the commencement of benefits. The number of revocations shall not be limited. No consent obtained under this provision shall be valid unless the Participant has received notice as provided in paragraph (b) below.

  • Rule 497 refers to Rule 497(c) or 497(h) under the Act, as applicable.

  • Waiver eligibility span means the twelve-month period following either an individual's initial waiver enrollment date or a subsequent eligibility re- determination date.

  • Eligibility Requirement means all eligibility requirements and other qualification requirements for a person to act in the applicable Corporate Trust Capacity under any Appointment as set forth in the related Corporate Trust Contract, including any required authorizations or licenses from the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, the Government National Mortgage Association, the Federal Housing Administration, the Federal Home Loan Bank or the Department of Veterans Affairs.

  • Public Governor means a member of the Council of Governors elected by the members of one of the Public Constituencies;