Compounded interest...

I have a loan four years ago amounting to 50K tapos may natira pong 17thousand. tapos di na ako nakapagbayad because of some unforeseen events.. now im willing to pay the principal of 17 thousand plus the penalty. but my penalty now is amounting to 92,780 pesos now...48 months penalty from the principal 17 thousand pesos... Are they allowed to continue the penalty if i will pay the principal? I am willing to pay 92,780 in my own terms like monthly payment is it possible? I am afraid after paying the penalty the lending company ecash will continue to incur interest on my penalty baka mabaon na ako sa utang habang buhay... Please help me on this what can i do para di na sila mag interest pa.. all i can pay right now is the principal.

how much is the rate of interest?

any payments will be applied first to interest before the capital. i recommend you try to enter into a settlement. keep talking to them, and hopefully you can reach an arrangement.

the interest is 0.2% per day... the interest for one day incur an interest the next day and so on and so forth thats why 17thou pesos had an interest of 92,780...and interest will continue if i am not able to pay all in one payment... so 92,780 is already incurring 0.2% everyday too... even if im able to pay 92,780 in one year.. i think my penalty will reach 100,000 more again... and it will incur interest again... and it will go on...

principal+interest 65,586
penalty 3,279
total68,865

principal+interest 68,865
penalty 3,443
total 72,308

even uncompounded, that is an unconscionable interest rate of 6% a month. write them a letter stating that no court will uphold that rate of interest and offer to pay the principal plus 2% interest and penalty per month, or some other interest rate acceptable to you.