Common use of Interest Term Clause in Contracts

Interest Term. If the interest rate defined above will be compounded “Annually,” or once a year, then the first checkbox presented by the “Bear Interest” statement must be selected. However, if the interest rate will be compounded once a month (“Monthly”) then the second checkbox should be selected. If neither of these options applies, then select the “Other” checkbox and define how often the concerned interest rate will be applied to the unpaid amount. (9) Not Bear Interest.

Interest Term. If the interest rate defined above will be compounded “Annually,” or once a year, then the first checkbox presented by the “Bear Interest” statement must be selected. However, if the interest rate will be compounded once a month (“Monthly”) then the second checkbox should be selected. If neither of these options applies, then select the “Other” checkbox and define how often the concerned interest rate will be applied to the unpaid amount. (9) Not Bear Interest.