OneMain Financial

Precomputed interest is calculated up front when a loan is opened, while daily simple interest adds up (accrues) every day on the amount of the loan (current unpaid principal balance) until the loan is repaid.Other key differences between the two types of loans:Precomputed interest loanUses the original payment schedule to calculate interest, even if the borrower makes payments early.If you miss a payment or pay late, your lender may charge you late fees, and your credit report may show missed or late payments.If paid off early, the borrower may be able to get an interest refund or rebate.Daily simple interest loanUses the amount or actual balance outstanding on the day a payment is due.To avoid paying additional interest, you should regularly and consistently make your standard monthly payment amount on or before your payment due date.If the borrower pays more than the monthly payment, this amount should get smaller as the loan is paid down.

Thank you for the positive feedback! -sm

Hi Damun,Thank you for taking the time to share your experience. We appreciate your feedback! It's what helps us do our jobs better. – LF