Outstanding balance (restgæld)
Also known as outstanding balance, remaining debt, outstanding debt, resterende gæld, udestående gæld
The outstanding balance is the whole amount still owed — both what has fallen due and what has not yet fallen due.
In practice
In an instalment plan, the outstanding balance is what remains to be paid. Interest will as a rule keep accruing on the outstanding balance throughout the instalment period unless otherwise agreed — and it is an item that many creditors forget to take a view on.
Where it commonly goes wrong
- Agreeing instalments without taking a view on the interest. Either it keeps accruing and becomes a problem in its own right, or it should have been agreed away as part of the settlement.
- The balance is stated without showing what has been paid. The debtor cannot check the figure, and the objection follows.