Our fees explained
When you take out a loan with us, we will charge you 'interest', which is not subject to VAT.
For greater flexibility, Defacto applies a daily interest rate of 0.05% on the loan amount in a "pay what you use" model, so once a loan is repaid, the interest stops accruing.
This interest is calculated on the basis of the amount borrowed and the number of days of the loan:
= Daily interest rate x Amount borrowed x Number of days borrowed
Your invoice explained
We send you an invoice at the beginning of the month which aggregates all the fees for loans repaid during the previous month.
In the invoice you will see:
Total excluding VAT
= Interest + Service charge (€0)
The invoice is due on receipt and is paid by direct debit.
To understand more about our fees: