How do I calculate payments on a amortized loan?
Loans
So I have a Business Analyst BAII Plus, Texas Instruments calculator and I want to know how to figure out the payments on a loan. I know how long payments will be made, interest rate, amortization (years), and loan amount. Can anyone tell me how to calculate this using my calculator, or any websites that can tell me. Thanks!
Tags: Amortized, Calculate, loan, Mortgages, Payments
http://www.yona.com/loan/
P = Payment
i = Interest
N = Number of payments
A = Loan Amount
P = (i * A) / (1 – ( 1 + i) ^ -N)
So if you borrowed 20000 for 36 months at 5% or .05 / 12 about .0042 interest per month interest
P= (.0042 * 20000) / (1 – (1 + .0042) ^-36)