Actuarial Method Clause Samples
The Actuarial Method clause defines the process for calculating the allocation of interest and principal in loan repayments over time. Typically, this method involves applying each payment first to accrued interest and then to the outstanding principal, with the interest portion determined based on the remaining loan balance and the applicable interest rate. This approach ensures that the lender receives the correct amount of interest over the life of the loan and provides a transparent, standardized way to amortize debt, thereby preventing disputes over payment allocation and ensuring fairness for both parties.
Actuarial Method. The method of allocating a Scheduled Payment with respect to any Contract between principal and interest, pursuant to which (i) the portion of such payment that is allocated to interest is the product of (a) one-twelfth of the Applicable Discount Rate with respect to such Contract multiplied by (b) the applicable Contract Principal Balance (before giving effect to such principal payment) and (ii) the remainder of such payment is allocated to principal.
Actuarial Method. (describe): The actuarial method is the “projected unit credit actuarial cost” method. Under this method, the transfer amount is the actuarial present value of the pension in respect of service accrued to the date of termination, assuming an annual increase in pensionable earnings between the year of termination and the retirement assumptions specified below.
Actuarial Method. The past service liabilities will be calculated for the Transferring Members in accordance with the actuarial assumptions set out in section 2 below using pensionable service to and Salary or Pensionable Salary (as the case requires) over the year to the Completion Date, and adjusted to the Actual Payment Date in accordance with the provisions in sections 3 and 4 below. The past service liabilities will be based on the benefit structure applying for and in respect of such Transferring Member immediately prior to the Completion Date. For this purpose pensionable services includes any additional service resulting from a previous transfer in or the accrued part of any added years secured by additional member contributions. In the event that a Transferring Member's Salary or Pensionable Salary represents less than a full year, it should be grossed up to the annual equivalent. For the avoidance of doubt the past service liabilities shall include the accrued element of the Transferring Member's ill health pension and death in service pensions. It shall take no account of benefits for service after the Completion Date.
Actuarial Method. The actuarial method is the “projected unit credit actuarial cost” method.
Actuarial Method. Actuarial method" means the method of allocating payments made on a loan between the principal amount and interest whereby a payment is applied first to the accumulated interest and then to the unpaid principal amount.
Actuarial Method. The method used is generally called “projected benefit method pro rated on service” adjusted to take into account the fact that the value of the benefits accrued during the applicant’s career is not necessarily uniform.
Actuarial Method. “Actuarial method” means the method of allocating pay ments made on a loan between the principal amount and interest whereby a payment is ap plied first to the accumulated interest and then to the unpaid principal amount.