The amount paid out is the amount of money that is actually paid out to the borrower will. As a rule, the amount paid out on a loan is less than the loan amount. This is the case because any fees or, in some cases, interest incurred are typically deducted as a so-called disagio or damnun. The discount thus corresponds to the difference between the nominal amount of the loan and the amount actually disbursed to the customer. In addition to loan contracts, a disbursement amount is also found in insurance contracts (e.g. the actual disbursement amount of an annuity insurance policy).
example
What you can learn here
The disbursement amount is usually smaller than the credit amount. The difference between the loan amount and the disbursement amount can be illustrated with a simple example: The loan amount is 1,000 euros, the amount of the discount is 7%. The borrower receives 930 euros disbursed, but must repay the full 1,000 euros.
Disbursement amount = loan amount - discountLoan amount and disbursement amount
The disbursement amount is usually smaller than the credit amount. The difference between the loan amount and the disbursement amount can be illustrated with a simple example: The loan amount is 1,000 euros, the amount of the discount is 7%. The borrower receives 930 euros disbursed, but must repay the full 1,000 euros.
Discount
The discount thus corresponds to the difference between the nominal amount of the loan and the amount actually disbursed to the customer.
Costs
The disbursement amount is usually smaller than the loan amount. This is the case because any fees or, in some cases, interest incurred are typically deducted as a so-called disagio or damnun. The discount thus corresponds to the difference between the nominal amount of the loan and the amount actually disbursed to the customer. In addition to loan contracts, a disbursement amount is also found in insurance contracts (e.g. the actual disbursement amount of an annuity insurance policy).
