Loan Amortization Schedule Excel With Deferred Payments In Florida
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Use the PMT function in Excel to create the formula: PMT(rate, nper, pv, fv, type). 1 This formula lets you calculate monthly payments when you divide the annual interest rate by 12, for the number of months in a year.
The PMT function in Excel determines the total payment owed each period—inclusive of the interest and principal payment. The total payment, unlike the other two components, will remain constant over the entire borrowing term.
You can ask your lender for an amortization schedule, but this might not be as helpful if you're looking to see how extra payments could impact that schedule.
Even a single extra payment made each year can reduce the amount of interest and shorten the amortization, as long as the payment goes toward the principal and not the interest. Just make sure your lender processes the payment this way.
Fortunately, Excel can be used to create an amortization schedule. The amortization schedule template below can be used for a variable number of periods, as well as extra payments and variable interest rates.
