1 Answer

I am not sure how to figure the payment on the loan. It may be 29000.00 divided by 60. That would make it 483.33. But,the usual formula for figuring a loan balance is:
Balance x 3.9 = Interest
Interest / 12 = monthly interest
Payment less montly interest = principal
Balance less principal = new balance

So...lets pretend your payment is 483.33:
29,000.00 x 3.9 = 1131.00
1131.00 / 12 = 94.25
483.33 - 94.25 = 389.08
29,000.00- 389.08 = 28,610.92

So, as you can see; as the balance goes down, more money is applied to the principle. Good luck!

12 years ago. Rating: 0
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