Loan Amortization Schedule Excel With Biweekly Payments In Fulton
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Biweekly payments whittle down your balance quicker than monthly payments do and are one of the best strategies for a faster mortgage payoff. They also save you considerably on longer-term interest.
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.
With a Bi-Weekly mortgage plan, you make payments to your lender every two weeks instead of once a month (with each payment representing half of your monthly payment).
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.
Example of Amortization In the first month, $75 of the $664.03 monthly payment goes to interest. The remaining $589.03 goes toward the principal. The total payment stays the same each month, while the portion going to principal increases and the portion going to interest decreases.
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.
