1. The current interest rate of provident loan is 5.22%. The principal mentioned by the poster is 150,000 and the term is 15 years (180 months).

Use EXCEL to enter the following formula Calculation:

=-pmt(5.22%/12,180,15000)

=1203.45

2. pmt() is a high-number function used for calculation Repayment of principal and interest in equal installments.

3. As long as you pay off the monthly repayment on time, there will be no problem of compound interest

4. From the repayment amount calculated in step 1, just subtract The interest you repay that month can be used to calculate the principal you repaid that month

For example, the interest repaid in the first month = 150000*5.22%/12=652.50 yuan

Then, The principal returned in the first month = 1203.45-652.50 = 550.95

Supplement:

The poster is very smart and can draw inferences from one example.

Yes, in the second month Interest = (150000-550.95) * 5.22%/12

For early repayment, the bank will generally require the current month’s payment to be repaid first (this can clear your interest), and then repay the principal.

The principal is reduced, and naturally your interest will be reduced next month

After the principal is reduced, you can calculate the new payment amount by applying the above formula. , the method of calculating interest remains unchanged