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The code is correct — this is the NPA 28-day grace period working exactly as designed. Let me trace through the logic to confirm:

For a loan of N total days, on any day where daysRemaining ≤ 28, the formula gives d = max(0, daysRemaining − 28) = 0, so:

Settlement = outstandingAtTerm × (1 + r)^0 = outstandingAtTerm (full repayment)
This means the settlement is flat at the full repayment amount for the last 29 days (when daysRemaining is 0 through 28 inclusive). Let me verify that's the correct count:

There is no bug — this is the NPA 28-day grace period working exactly as it should. Here's why you see the same balance for those final days:

The rule: When a borrower gives notice to settle, the NPA formula sets the settlement date 28 days ahead. If that 28-day notice would take the date to or past the loan end date, the settlement is simply the full repayment — there is no discount.

What this means on a 181-day loan:

On day 153, daysRemaining = 28. Give 28-day notice → settlement falls on day 181 (the final day). You pay the full amount.
On days 154 → 181, 28 days from now would overshoot the end date. You still pay the full amount.
On day 152, daysRemaining = 29, so d = 1, and you get a small discount for one day.
So the flat region is 29 consecutive days (daysRemaining of 0 through 28), which is correct. The settlement formula (C + P) × (1 + r)^(−d) with d = 0 gives exactly the full outstanding amount — no rounding errors, no miscalculation.

This flat region is actually a deliberate feature of the NPA method under the Consumer Credit (EU Directive) Regulations 2010: the lender is protected from last-minute settlement notices by always getting at least 28 days' worth of interest after notice is given.

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Rebate

In pawnbroking, a "rebate" typically refers to the reduction in interest you receive when you pay off your loan earlier than the agreed full term. While the term "rebate" isn't always the standard label in contracts, the process is legally protected and works as follows: 1. Interest Savings (Early Redemption) Daily or Monthly Interest: Most pawnbrokers charge interest either daily or monthly. If you pay back your loan before the end of the 6- or 7-month term, you only pay the interest that has accrued up to that point. Reduced Total Cost: This acts as a "rebate" because the total amount you repay is less than the figure quoted for the full loan duration. Minimum Charges: Be aware that some lenders apply a minimum interest period (e.g., a 28-day minimum charge), meaning if you pay back within the first week, you still pay for those initial 28 days. H&T Pawnbrokers 2. Surplus from Sales If you cannot repay the loan and the pawnbroker sells your item, you may be entitled to a "rebate" of the surplus funds: Sale Surplus: If the item sells for more than the combined amount of the loan, interest, and reasonable selling costs, the pawnbroker must return the extra money to you. Notification: For loans over £75, the lender must notify you of the sale and the surplus amount achieved. Financial Conduct Authority | FCA 3. Statutory Rights 14-Day Cooling Off: You have a right to withdraw from the agreement within 14 days. In this case, you only pay interest for the specific number of days you had the money. Regulated Loans: Most UK pawnbroking is regulated by the Consumer Credit Act 1974, which ensures these rebate and surplus rules are enforced. Financial Conduct Authority | FCA Pawnbroking sector review - Financial Conduct Authority | FCA 10 Jul 2018 — Unpaid surplus. We requested information on the amount of surplus due to be returned to consumers and the amount still unpaid. Financial Conduct Authority | FCA credit and related services: pawnbroking - HMRC internal manual 8 Apr 2016 — Under loans regulated by the CCA the redemption date is always a minimum of six months from the date of the credit agreement GOV.UK How Pawnbroking Works 19 Feb 2026 — The agreement is usually for a period of six or seven months. * A customer has the right to give notice to withdraw from the agree...

Created: 17/03/2026 13:32

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NPA last days

The code is correct — this is the NPA 28-day grace period working exactly as designed. Let me trace through the logic to confirm: For a loan of N total days, on any day where daysRemaining ≤ 28, the formula gives d = max(0, daysRemaining − 28) = 0, so: Settlement = outstandingAtTerm × (1 + r)^0 = outstandingAtTerm (full repayment) This means the settlement is flat at the full repayment amount for the last 29 days (when daysRemaining is 0 through 28 inclusive). Let me verify that's the correct count: There is no bug — this is the NPA 28-day grace period working exactly as it should. Here's why you see the same balance for those final days: The rule: When a borrower gives notice to settle, the NPA formula sets the settlement date 28 days ahead. If that 28-day notice would take the date to or past the loan end date, the settlement is simply the full repayment — there is no discount. What this means on a 181-day loan: On day 153, daysRemaining = 28. Give 28-day notice → settlement falls on day 181 (the final day). You pay the full amount. On days 154 → 181, 28 days from now would overshoot the end date. You still pay the full amount. On day 152, daysRemaining = 29, so d = 1, and you get a small discount for one day. So the flat region is 29 consecutive days (daysRemaining of 0 through 28), which is correct. The settlement formula (C + P) × (1 + r)^(−d) with d = 0 gives exactly the full outstanding amount — no rounding errors, no miscalculation. This flat region is actually a deliberate feature of the NPA method under the Consumer Credit (EU Directive) Regulations 2010: the lender is protected from last-minute settlement notices by always getting at least 28 days' worth of interest after notice is given.

Created: 17/03/2026 08:33

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