If you ever took a financial account class, finance class, or even some general math class, you might have learned present value formulas or future value formulas. These math formulas help you determine your payments given your interest rate, the loan amount, and the total number of payments.
- P = Initial loan amount
- r = Interest rate per period
- n = Total number of payments or periods
A = P (r (1+r)^n) / ( (1+r)^n -1 )
W., A = Payment amount per period.
If you want something a little easier, click on the loan calculator link below. You can enter your desired loan amount, interest rate, and the number of months. Best of all, you can start the loan process by