What payment frequencies are commonly used?

Financing is often repaid on a daily, weekly, or monthly schedule. The frequency chosen affects the size of each individual payment while the total stays the same.

Why are there about 260 "daily" payments in a year rather than 365?

Daily repayment usually means business days only. Once weekends and holidays are excluded, roughly 260 payment days remain in a calendar year.

How many payments fall in a weekly or monthly schedule?

A weekly schedule has about 52 payments per year and a monthly schedule has 12. So a two-year monthly plan has 24 payments, and a two-year weekly plan has about 104.

How is the number of payments over a term determined?

Multiply the payments per year for the chosen frequency by the length of the term in years. A shorter or longer term simply scales that count up or down.

How does frequency change the size of each payment?

The same total split into more frequent payments makes each one smaller; split into fewer payments makes each one larger. The overall amount remains unchanged.

Does paying more often change the total owed?

The scheduled total is the same across frequencies. Only the per-payment amount and the cadence of payments differ.