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What is the difference between the current principal balance and the payoff quote?

April 26, 2017Balance payoff Principal Quote

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What is the difference between the current principal balance and the payoff quote?

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The current principal balance is the amount still owed on the original amount financed without any interest or finance charges. A payoff quote is the total amount owed to pay off the loan including any and all interest and/or finance charges. Payoff quotes are quoted to cover a 30-day period of calculated interest and/or finance charges. After that 30-day period a new quote is necessary for the correct amount required to pay off the loan.