Question about Loans and Interest (Little Upsilon)

So I've been looking for the answer to this question among the current documentation out there but haven't been able to find it. I understand the way loans work in the real world (for the most part) but I'm confused about the way interest is calculated and paid in Simcountry.

For instance: say I were to give out a bunch of loans adding up to 1T SC$ at 12% interest for 120 months. In the event that all the entities I loaned the 1T SC$ to pay me back exactly 120 months later, how much of a profit in interest will I have made?

I know it's a very specific question but I'm just super curious about it because I feel it'll help my understanding of the way interest is calculated in the game. Thanks!

i don't know the exact calculation but the interest you receive is incredibly small. i gave 3.8 trillion dollars in loans and i only got 315 million per month in interest. that's why i think there needs to be some type of change in the way loans are given and received. the reason interest is so small is because there is no risk in giving loans out to countries in simcountry.

think you will find the interest rate (12%) is per real year. Hence your loan period is 20 days of a whole years interest. My math makes Razzos loan worth about 60M a game month. Dont know if compound interest applies here, doubt it, and dont trust my math either!

Crafty right its about 65-70M a month in interest. I have 100T loaned and i make about 7B ish. Loans aren what they used to be