Why isn’t my payment going towards my principal balance?

If you’re paying more than your minimum monthly payment, your payment is applied in the following order:

1. Nonsufficient Funds (NSF) Fee, if applicable
2. Accrued interest
3. Outstanding principal balance
4. Other Fees, if applicable

To apply additional funds directly to your principal, make sure your minimum monthly payment has already been made for that billing cycle. Then, submit an extra payment separately.

Keep in mind:

• Best Egg uses simple interest, which accrues daily based on your outstanding principal.
• Reducing your principal faster can lower the total interest you pay over time.

For more information, see:

• Can I make additional payments on my loan?
• If I pay extra on my loan, will it go to the principal?
• Are there pre-payment penalties?
• Is this a simple interest or compound interest loan?