Finance Question - Posted by Steve

Posted by Steve-Atl on May 31, 2000 at 08:53:40:

Interest only loans are simple because there is no amortization. Simply take the balance ($20k) and multiply by the annual interest rate (10%), then divide by 12 to get the monthly payment.

For an amortizing loan, you need a calculator or software to determine the split of interest and principal paid each month.

Finance Question - Posted by Steve

Posted by Steve on May 31, 2000 at 06:31:45:

Can someone please figure a 20,000 loan-interest only payment for 20 years at 10%? Also, please include how you calculated it. Thank you.