Using a Payment Calculator
The Payment Calculator will determine the correct loan term or monthly payment for a variable rate loan. To use the calculator, enter the start date, the end date, the loan amount and the interest rate in the appropriate fields. After you have entered this information and clicked the button to continue, a result page containing the results will be displayed. In some cases, you will be able to see the Annual Percentage Rate, total payment, payoff amount, rollover amount, monthly payment to go down and more. You can also see the Annual Percentage Rate in the left portion of the results.
Variable rate mortgages are loans with an interest rate that varies from time to time. You can use the Payment Calculator to determine your monthly payment amount for such loans. To use this calculator, fill in the start date, the end date, the amount of the loan (in thousands), the interest rate and the term of the loan. The Payment Calculator may ask you to enter an annual amount for the interest on the loan, if known. This annual amount will be used to determine your payment amount.
Mortgage calculators are useful for mortgages taken out for the current year, or loans taken out in the future. The Payment Calculator works the same way for both kinds of loans. You can also use it to determine the amount you will save if you change your interest rate and the length of the mortgage. For fixed term mortgages, the calculator can help you determine if the monthly payment is lower than the amount you could save by refinancing, if your existing mortgage has 0% loan-to-value and if your income and debt load is similar to that of an individual with a thirty-year mortgage.
There are different mortgage calculators for different terms and different types of mortgages. Fixed-rate mortgages come with calculators that determine the rate, lock in at the rate and remain at that level until the loan matures. Adjustable-rate mortgages come with calculators that allow you to adjust the rate up or down to the pre-determined level. Some calculators are based on historical data and some are based on current interest rates and mortgage payments. The mortgage calculator also determines the number of payments that have to be made over the life of the loan using a schedule that accounts for present payments and future payments.
When you enter in loan details such as the interest rate, amount and repayment period, you get an APR. This APR is what you will pay on the total amount borrowed, less any amount that you repay each month. For example, if you borrow a thousand dollars and repay five hundred dollars each month, you will have to make fifteen thousand dollars principal payments and fifteen thousand dollars interest payments. This APR is usually determined by you and may not be affected by any loan features.
It is possible to use a mortgage payment calculator to determine different aspects of your monthly mortgage payments. Most lenders offer free mortgage calculators on their websites. You can input loan details such as interest rate, loan term or property taxes into the calculator and it will show you the results. The output of the calculator will help you decide how much you can afford to borrow. Mortgage calculators are very helpful tools that allow you to make the best financial decision for your property.