Average fund calculation formula: monthly repayment amount = (loan principal/repayment months)+(principal-accumulated amount of repaid principal) × monthly interest rate.
Equal interest is one of the repayment methods in private lending, installment shopping and bank installment.
As an investor, this calculation method is less, and most of them calculate interest on a monthly basis, and return the principal and interest at maturity, with more equal principal and interest. However, both Yinong Jin Fu and Laibei District have such calculations. I can also give you an example of how to borrow money:
For example, the loan amount is 30,000 yuan, the loan term is 12 months, the estimated annualized loan interest rate is 12%, and the principal and interest are repaid at the end of each month. The formula is as follows: monthly repayment of principal = loan 30,00012 period = 2,500 yuan, and estimated annual interest = 300,000 yuan.
Extended data:
Matching principal and interest and matching principal repayment methods, the calculation method of interest is to multiply the principal amount you borrowed by the corresponding monthly interest rate (annualized interest rate/12 months) to calculate the interest that you should repay to the bank that month.
For example, a loan of 300,000 yuan will be paid off in 0 years with an annual interest rate of 7% and a monthly interest rate of 0.5833%.
Equal principal and interest:
It means that after the principal and interest are added up, the average amount of money is the same every month. This repayment method takes a long time because the repayment speed of the principal is relatively slow and the total interest of repayment is higher than that of average capital in the same period.
The loan of RMB 300,000.00 Yuan is paid off 1 year, with an annual interest rate of 7% and a monthly interest rate of 0.5833%.
Pay interest first, then principal (monthly interest, due principal):
The borrower repays the loan principal in one lump sum and pays the interest on a monthly basis on the maturity date of the refinancing. This repayment method has strict approval and high qualification requirements.
500,000 yuan, monthly interest rate 1%, annual interest rate 12%, cycle 1 year, so the monthly repayment interest is 5,000 yuan, and the one-time repayment in1February is 505,000 yuan with interest of 60,000 yuan.
In credit loans, the longest loan period is five years after interest, but some banks require annual repayment of principal, because the final repayment period is too long and the variables are too big, so banks can't track and control risks in time, and the borrower's repayment pressure in the final repayment period is too great, which greatly increases the probability of overdue bad debts.
Equal principal and interest:
In some cases, it may be called equal principal and interest, but the calculation method is completely different. All interests such as matching principal and interest are calculated in full.
The loan is 300,000 yuan, the term is 1 year, the annual interest rate is 7%, and the monthly interest rate is 0.5833%. The principal and interest repaid every month are the same.