Arrogated-- Poor Business Practice Or Not?

cdqueen
  |     |   78 posts since 2016

Checks Mortgages T-bills

Equities Loans Bonds

CDs Securities Treasuries

Few and distinct are the functional features of term instruments: Date-- term, time period, maturity date. Amount-- sum subject to accrual or obligation. Rate-- accrual rubric determines frequency and amount of valuation increase.

Assuming for discussion purposes only a June 9th maturity date on a CD for this example: has anyone ever experienced an institution only paying interest up through June 8th but not on and including the maturity date? To clarify, shortening by a day (or more?) the agreed upon term maturity effectively shorting, skimming, chiseling, arrogating an accrual amount previously understood to fulfill completion of the full term of the contract? Such a practice would net many additional arrogated days worth of shorted valuation maturities when multiplied across each/every customer, kind of like when a Starbucks barista throws your gift card into the trash after purchase without checking to see if any (substantial) balance remains. Arrogated? Poor business practice, or not?



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