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Prepare an amortization schedule for a three year…?

Prepare an amortization schedule for a three year loan of ,000. The interest rate is 9% per year, and the loan calls for equal annual payments.

How much interest is paid over the life of the loan? (use a financial calculator)
(Also, develop the amortization schedule using Excel spread sheet)


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How do I make an Amortization schedule in Excel?

This is my HW question:
Create an Amortization schedule for a long term loan in an Excel Spreadsheet.
Use 340,000 for the amount financed for 30 years with a rate of 6.25 %
and print out 24 months of the schedule. (It may be helpful to fill in values before you enter
the formula for calculating monthly payment.)

I have no idea how to put this into excel.


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How does mortgage prepayment affect future amortization? I'd like a spreadsheet?

I’m about halfway through a 15-year, fixed-rate mortgage. I have an amortization schedule from when the loan was originated. I would like to see how irregular prepayments to principal affect the amortization going forward. About 0 of my monthly payment goes to interest right now, and declines slightly by month. If I pay down the principal by, say, 5 thousand, how much of my future payments will then get divided between principal and interest? A spreadsheet would be great, if anyone has one.


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Mortgage Payment Amortization Schedule

A mortgage payment amortization schedule provides details of the periodic payments which will be made on a loan and has been generated by an amortization calculator. 

What is especially important is that these particular schedules should show the specific amount that will be borrowed along with the interest that will need to be paid. It will also show you exactly what each amount will be with regards to the part of the payment that is being put towards the principal balance. In most cases you will seen on these schedules that a large portion of the payment will be solely devoted towards paying the interest that is being earned on the mortgage and then as the mortgage matures so more of the payment will then be used towards paying off the actual principal amount that was originally borrowed. 

As with any amortization schedule one that has been specifically produced for mortgage payments will run in chronological order. The first payment that it will assume that the user will make will take place a full month after the loan was originally taken out rather than on the first day of the loan. Plus the last payment that will be shown in your mortgage payment amortization schedule will show that this completely pays off the remainder of the mortgage and so in most cases this amount will be slightly different from all the payments that have gone before.

But as well as breaking these payments down into both their principal and interest portions it will also show what interest and what part of the principal balance that the borrower has paid to date. Plus it will provide the borrower with details of what the remaining principal balance is as at each payment date.

You will notice when looking at any mortgage payment amortization schedule that has been produced that generally in the first year the payments that you make to the lender will consist mainly of interest payments. It is only as the mortgage matures will you start to make more payments towards the actual principal balance (the amount which you actually borrowed originally).

What is vitally important is that you check the mortgage payment amortization schedule through carefully before you sign anything. Otherwise you may find yourself in a situation where you are unable to actually pay back what you owe in the first place.

Loan Amortization Schedule

A loan amortization schedule is a table which provides you with details of the periodic payments in relation to a loan. Generally it is used to show the payments in relation to a mortgage and can be generated by using an amortization calculator. There are hundreds of these calculators which you can find on line and which will cost you nothing to use.

Normally when a loan amortization schedule is provided to you it will show what portion of each payment will go towards the interest that you will need to pay and the balance of the principal (what is the actual amount of the loan that you requested) part of the loan. However the exact amount that is applied to the principal part of any loan will vary each time and any remainder will be that which is paid towards the interest on the loan that you owe. By getting an loan amortization schedule you will see the exact amount that will be put towards your interest payments as well as the exact amount that goes towards the principal balance of the loan on each payment that you make in order to settle the loan. In the beginning you will notice that a large portion of any payments you make and which are shown on the amortization schedule will be devoted to the interest that you need to pay on the loan. But as the loan begins to mature then a larger portion of the payments that you make will actually be used to pay off the principal balance of the loan.

All loan amortization schedules run in a chronological order and the first payment is assumed to be the one which will be made a full month after the loan period was initially taken out. So say for example your loan was taken out on the 1st May 2007 then your first payment would need to be made on the 1st June 2007 and so until the loan has been completely repaid. Whilst the last payment that appears on your loan amortization schedule will be the payment which pays off the remainder of the loan completely and so will differ slightly from the loans that were made earlier on. But as well as breaking down each payment into both principal and interest amounts the loan amortization schedule can show you what interest you have paid to date as well as the principal payments that you have made to date also. Plus it also provides you with a balance of what the remaining principal balance is.

Amortization Schedule Calculator

An amortization schedule calculator will help you to calculate the exact amortization schedule for any sort of mortgage or loan that you are looking to take out. When using an amortization schedule calculator you will find that it provides you with what each monthly loan or mortgage payment is going to be and how much of each payment will go towards paying the interest and how much towards actually reduce the amount outstanding on the original loan or mortgage that was requested.

There are plenty of amortization schedule calculators which can be found online and all of this comes usually in a PHP script which means that the amortization loan or mortgage payments can be quickly calculated and a schedule produced in respect of the loan or mortgage you are looking to take out. In most cases when needing to calculate an amortization schedule you will need to enter the amount of the loan you are interested in, the current interest rate, how long the loan or mortgage will be for and the date on which you would like it to start. Using an amortization schedule calculator you can then view the payments either month by month or year by year.

When you start off looking at an amortization schedule calculator in the monthly viewing aspect you will see that it shows each monthly payment that you will need to make for the duration of the loan in question. But as well as showing the payments that you will need to make it will also show how each payment is divided up with respect to what goes towards the interest on the loan and what part of the payment goes towards paying off the principal balance. Then it will provide you with what the remaining balance of the loan or mortgage will be after each monthly payment is made. Whilst the yearly method will only show you the payments for the entire year rather than as separate monthly payments and so you will not be able to fully understand the breakdown of the loan with regard to the interest and principal balance that you will be making. 

But what is especially good about an amortization schedule calculator is that it allows you to estimate the amount of a loan that you will be able to comfortably afford and which will not cause you to have any financial problems in the future. Plus you can recalculate the loan as many times as you like until you find a level of payment that you are actually comfortable with.

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