What is an Average Daily Interest? (ADI)

Average daily balance and interest calculation is based on what the loan balance is for a specific day. So for example, if you have a $100,000 daily balance with a 4% interest rate. $100,000 * 4% = $4000. Divide that by 365 = $10.95 per day

The key with this strategy is to lower the daily balance with ALL of our income and savings to also lower the daily interest amount while still having access to our income and savings.