Floating-rate loan assignments typically occur on the loan repricing date as an effort to minimize confusion regarding the calculation and transfer of accrued interest.

Question

Quizplus · Accepted Answer

Floating-rate loan assignments are usually done on the loan repricing date to ensure that accrued interest is calculated and transferred correctly. This helps to avoid confusion and errors related to interest payments.

Floating-Rate Loan Assignments Typically Occur on the Loan Repricing Date