* All kind of loans are subject to Stamps Fees Law and Sales Tax Law.

* Includes all persons as long as they are in full legal capacity and in line with the company’s policy and provisions.

* The company is obliged to grant funding only for legal purposes, and the fund is not granted for any kind of illegal purposes or purposes that entail environmental and social impact.

* The applicant must be of Jordanian nationality only

* The applicant must be subject to social security

* Terms and conditions apply.

*The company is an insurance agent for the Jordanian Insurance Company and its registration number with the Central Bank of Jordan is 0022/01/5/20.

A customer obtained financing worth 200 JOD from Tamweelcom Company through the Tamweelcom application, so that the financing is repaid over two months with a decreasing/annual interest of 42.465%, which is equivalent to a fixed/annual interest of 32.04%.
1. What is the total interest due on the financing?
Total interest value on financing = 10.68 JOD
The value of import stamps on the contract = 1 JOD
The value of the one-time credit granting commission = 2 JOD

2. What are the amounts of the monthly installment to prepare for acceleration (principal, interest, and sales tax on incentives)
The value of the monthly installment for the first payment: 105.50 JOD
The value of the monthly installment for the remaining payments: 105.50 JOD, including the original payment, interest, and sales tax on taxes

3. How to determine the effective interest rate (EIR) for financing
The factory interest rate is determined by the following equation (EIR) = 1- ¹²(IRR+1)
The internal rate range [internal rate of return (IRR)] is determined using Microsoft Excel using the future (IRR) equation:-
In the value field: we get the full cash income (negative and future)
In the Guess box: (representing experience): we enter “zero”.
The result is 0.03508
Which cost the monthly cost amount (monthly actual rate)
The target price (EIR) is considered by the internal compensation rate (IRR) in the following:
Industrial Interest Rate = 1- ¹²(IRR+1)
Industrial interest rate = 73.558%