1, the formula is as follows:

Monthly Equal Monthly Equal Debt Repayment:

R:Monthly Interest Rate

N:Number of Repayment Periods

Which: Number of Repayment Periods = Loan Period x 12

2, for example, with a commercial loan of 200,000 yuan, the loan period of 15 years, the amount of Equal Monthly Debt Repayment is:

Monthly interest rate of 5.58% ÷ 12 = 0.465%, the number of repayment period of 15 × 12 = 180 (months)

That is, the borrower monthly repayment to the bank of 1,642.66 yuan, 15 years, 200,000 yuan of the loan principal and interest will be repaid in full.

Expanded Information

Determining Factors

Bank Rate

Money gets interest for every day it's deposited in the bank, and the more money you deposit, the more interest you get. Similarly, for a loan it is the same, the bank has to pay interest for one more day for an additional day's use of the loan, and the larger the loan, the more interest is paid to the bank.

Bank calculations

The formula for calculating bank interest is: interest = amount of money x interest rate x time occupied.

Therefore, the amount of interest, in the case of interest rates remain unchanged, the determining factor can only be the actual occupancy time of the funds and the size of the amount of occupancy, rather than the use of which repayment method. This is the ironclad truth!

Different repayment methods, just to meet the different income, different age, different consumption concepts of people's different needs or consumption preferences and set. In essence, it is only the loan principal due to "three twilight four" or "four twilight three" type of first repayment, resulting in the loan principal in fact, the long use of short use, more use less use, which in turn affects the interest rate with the actual occupation of the number of funds and the length of the period of time and the change of the increase or decrease.

See, no matter what kind of loan repayment method, the bank did not do lose business, the customer also does not exist to save the interest expenses of the benefit.

Baidu Encyclopedia - Equal Interest Repayment