First, the equal principal and interest repayment method, in the initial repayment period, the interest expenditure is the largest, while the principal is the least. After that, the interest payment gradually decreased and the principal gradually increased, but the monthly repayment amount (principal+interest) was the same. It is more suitable for young people with low income and low savings, because the pressure of monthly payment will not reduce the quality of life. The formula is:

Monthly repayment amount = loan principal * monthly interest rate *( 1+ monthly interest rate) total repayment months /(( 1+ monthly interest rate) total repayment months-1)

In the above formula, all the figures are fixed, so the repayment amount is fixed. Let's modify the formula:

Monthly repayment amount = loan principal * monthly interest rate+loan principal * monthly interest rate /(( 1+ monthly interest rate) total repayment months-1)

Among them, we call' loan principal * monthly interest rate' as monthly interest, and' loan principal * monthly interest rate /(( 1+ monthly interest rate) total repayment months-1)' as monthly principal. The sum of the two is the monthly repayment amount, which is also called the total principal and interest (one month); Total interest = total repayment months * total principal and interest-loan principal, that is, all the interest you spend. ""represents an index.

Second, the average capital repayment method refers to the equal repayment of the loan principal every month, with the loan interest decreasing month by month and the monthly repayment amount (principal plus interest) decreasing gradually. The total interest paid is less than the equal principal and interest method. Suitable for middle-aged people with high income and certain savings. The formula is:

Monthly repayment amount = loan principal/total repayment months+(loan principal-accumulated repaid principal) * monthly interest rate.

In which: accumulated repayment principal = loan principal/total repayment months * repayment months.

Hope to adopt. Thank you.