Funds Usage Fee Clause Samples
The Funds Usage Fee clause establishes a charge or fee that a party must pay for the use of certain funds provided under an agreement. Typically, this fee is calculated as a percentage of the funds utilized or as a fixed amount, and it may be assessed periodically or upon specific events, such as disbursement or outstanding balances. By specifying the cost associated with accessing or using the funds, this clause compensates the provider for the opportunity cost or risk of making the funds available, ensuring transparency and predictability in financial obligations.
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Funds Usage Fee. 3.1.1.1. A Funds Usage Fee, earned daily, to be paid monthly on the last day of the month in which it accrues.
3.1.1.2. Notwithstanding Section 3.1.1.1., the Funds Usage Fee shall not accrue and be payable on any funds subject to the Default Rate.
Funds Usage Fee. The product of the Funds Usage Fee Rate and the Balance Subject to Funds Usage Fee. "Funds Usage Fee Rate" - 3.50% in excess of the Prime Rate, not less than 6.0%, calculated on the basis of the actual number of days elapsed in a year of 360 days.