The Rule of 78
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Editor’s note: Lantern by SoFi seeks to provide content that is objective, independent and accurate. Writers are separate from our business operation and do not receive direct compensation from advertisers or partners. Read more about our Editorial Guidelines and How We Make Money.
What Is the Rule of 78?
How Does the Rule of 78 Work?
What Is the Rule of 78 Used For?
Is the Rule of 78 Legal?
How Interest Is Calculated Using the Rule of 78
Rule of 78 vs Simple Interest
Is the Rule of 78 Bad for Loanees?
The Takeaway
Frequently Asked Questions
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About the Author
Lauren Ward is a personal finance expert with nearly a decade of experience writing online content. Her work has appeared on websites such as MSN, Time, and Bankrate. Lauren writes on a variety of personal finance topics for SoFi, including credit and banking.
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