With a redemption (also installment loan, loan with linear repayment) with the borrower over a firm running time a remaining alike (linear) repayment achievement is agreed upon. The achievement rate consists to the dates agreed upon in each case then of this linear rate and the interest calculated in each case on the balance of debt, which are mostly separately loaded, so that from removing interest because of the decrease of the balance of debt sinking achievement rates result.

The linear instalment arises as a result of division of the sum due from the number of repayment procedures.

See also: Annuity loan, finaldue loan

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