Day Count Conventions
The five day count conventions LoanMonitor supports, and how to pick the one that matches your loan agreement.
A day count convention decides how many interest days a period has and how many days a year counts. The same loan at the same rate gives different interest amounts depending on the convention, so it must match your loan agreement. Otherwise your schedule will be a few euros off from your bank's statements.
German banks almost always use German 30/360. If your contract says "30/360" and the lender is a German bank, start there.
German 30/360
Every month is 30 days, February and maturity included. The standard for German bank loans.
30E/360 (Eurobond)
The 31st becomes the 30th; February stays as it is.
30/360 US (Bond Basis)
The 31st only becomes the 30th if the period started on the 30th or 31st.
ACT/360
Actual calendar days over a 360-day year. The money-market standard for EURIBOR and €STR.
ACT/365
Actual calendar days over a fixed 365-day year.
For a side-by-side comparison of all five conventions and a step-by-step guide to choosing one, see the Guides overview.