Islamic Banking is interest free

Future reference for those who need a loan but don't want to pay interest, the bank knows you plan on taking out a loan and there is no need to take some kid's college money.

 

These are getting old lol.

 

Let Em rage mayne

 

no one's raging man, it's just information in case anyone decides they need a loan from someone on sythe...

 

you ok?

 

I want a interest free loan

 

I can give you one, up to $350.

 

ill take it nate old buddy

 

waiiittt a second, about 5 minutes ago you hate me brochacho.

And how the hell do you know my name!??

 

could you give me a 500$ intrest free loan?

 

If you will accept a 2 year ban, sure. PM me for details.

 

$4000 * 8%/ year = $4320 for a 1 year loan

$320/ 12 = $26.67/ month

$26.67 * 4 months = $106.68

You saved yourself $106.68 in interest

Obviously it isn't fully accurate but that's the rate I got.

 

Jesus christ son, you will be lucky to find a bank that will give you 1/10 of the interest rate you just assumed.

Recalculate.

 

ok buddy we'll go by school loans, of 3%

which is $66.89

 

ok 3%

4000 * 1.03 = $4120.

So 4 months = $40 interest. l2math.

But Ill gladly pay Wylde the $40 in interest.

 

lol Canadian osap website got me the estimate they factor in too much shit. Also 3% is what we pay on OSAP loans at the end of studies.


I think America's is 3.3% though but TD Canada is 3% at the moment. Also factor in your 4 month grace period into the loan. I don't know how to calculate that though. On the OSAP website they said $110 for 6 month grace period but you took a 4 month grace period so it should be $73.33 if you actually want to follow OSAP, I used a fixed rate though.

3% + $73.33.

That 8% I found was from an american loan company... I don't know why they charge so much on short term loans must need really bad credit for that...

Also I think you're thinking what you would make if you put it in a bank, I'm assuming how much the bank/ short term lender would take from you if you took out a loan.

 

Well even most mutual funds, ETFs, MMFs, or any dividend paying stock is not going to exceed 4% MAX (excluding any obvious outliers) when you are looking at returns over a 4 months period.

if we were talking about a mortgage or something, then ya there would be an origination fee (points) or something for the loan startup fee, but again those would be minimal, maybe a percent.

So I will even go with your worse case scenario, and assume the 8%/$76 figure. The charge that you have brought against me is not having paid $76 in interest over a loan I originated. I can accept that. And as I said, if thats really what would make all the gripers content, I wouldnt have an issue repaying the "lost interest" lol.

My question to you though is, what about the instance with Corey and Stui? How come you are not bitching about his year of "unpaid interest"? (nothing against Corey, I like the guy, its just basically the same scenario).