![]() ![]() This template will be of essential use for Financial planners, Investors, Bankers, Business Owners, and all kinds of Lenders and Borrowers who are looking forward to taking or giving a loan. Besides, the borrower can make some extra payments sometimes for an early settlement and the borrower can follow an Accelerated Bi-weekly payment approach to repay the loan a little bit quicker.ĭownload our free Excel template where you will get a Bi-weekly Mortgage Calculator with extra payments and an Accelerated Bi-weekly Mortgage calculator. When the payment frequency is Bi-weekly, that is, the borrower pays his due payment every two weeks, this mortgage calculator is called Biweekly Mortgage Calculator. A mortgage calculator can be of several types based on payment frequencies, such as Weekly, Bi-weekly, Monthly, Quarterly, or yearly type. The borrower can visualize his interest paid, principal paid, and the remaining balance after each payment from this calculator. Yearly - For borrowers who are not willing to make extra payments more frequently, yearly extra payment is another option.Get FREE Advanced Excel Exercises with Solutions!Ī mortgage calculator is an important tool for borrowers to repay their remaining loan. Quarterly - Recurring quarterly extra payment is another option a borrower can use For biweekly payments, borrowers will make extra payments every two weeks. For monthly payments, borrowers will make additional payments each month. Monthly or Biweekly - Make extra payment for each payment. One Time - If you choose Yes for extra payment, enter any amount if you wish to make a one time extra payment. ![]() ![]() Payment Frequency - The default monthly payments or accelerated payments with biweekly payment option.įirst Payment Date - Borrowers have the option to select the current month or any date from the past or future.Īmortization Schedule - Show each payment or yearly summarization. Interest Rate - What's the interest rate on the loan? Loan Terms - How many years will the loan be paid back? The mortgage calculator with extra payments gives borrowers two ways to calculate additional principal payments, one-time or recurring extra payments each month, quarter, or year. Let's see how much he can save if he makes an additional payment of $300 each month which is about 18% more than the original monthly payment of $1,627.89.Īs we can see by making an extra payment of $300 each month, the borrower saves about $9,423.35 in interest payment, and he pays off his loan in 8 years instead of 10. On this loan, the borrower would pay $45,347.30 in interest payment after 10 years of payment. Let's take a look at an example of how much extra payments can save on a loan of $150,000 with an interest rate of 5.5% and a 10-year term.įollowing are the payment details for this loan. When a borrower consistently makes additional payments, he could save thousands of dollars on his loan. The main benefit of paying extra on a home mortgage or personal loan is saving money. Depending on the size of the loan and the extra payments, and the number of additional payments the borrower makes, he could pay off his loan much earlier than the original term. When a borrower makes additional principal payments to reduce the balance, he is essentially reducing interest payments on his loan. The interest payment is basically recalculated each month based on the loan balance. However, the principal and interest amount change as time progresses. On a fixed-interest loan, the monthly payments remain the same throughout the loan. The monthly payment consists of principal and interest payments. The borrower is expected to pay back the lender in monthly payments. When a borrower applies for a loan, he gets a lump sum from the lender. To understand additional principal payments, we first need to learn how a loan amortization schedule works. The additional principal payment is extra payments that a borrower pays to reduce the principal of his loan balance. The loan amortization calculator with extra payments gives borrowers 5 options to calculate how much they can save with extra payments, the biweekly payment option, one time lump sum payment, extra payments every month, quarter, or year. Loan Amortization Calculator With Extra Payments ![]()
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