Rule of 78
A formula used to determine rebates on Interest for Installment loans; since 1 + 2 + ... + 12 = 78, 1/78th of the Interest is owed after the first month, 3/78ths after the second month, etc.
A formula used to determine rebates on Interest for Installment loans; since 1 + 2 + ... + 12 = 78, 1/78th of the Interest is owed after the first month, 3/78ths after the second month, etc.