Amortization

    Can someone explain how to amortize a loan using excel. I currently use excel for all my work, but have been using lotus for amortizations because it's a template that one uses where you just plug in the amounts and interest and years. I want to get away from lotus completely and use Excel for everything.


    thanks

    Re: Amortization


    Excel has a number of financial functions that should do what you want. It may be that the PMT function will do what's needed. If not, can you provide an example of what to want to achieve?

    Re: Amortization


    That wasn't what I was looking for, but thanks. I found what I was looking for. This is the formula for calculating the payment on a mortgage by using the principal, interest rate and term of loan. Formula:
    =-ROUND(PMT(F2/12,F3*12,F1),2)


    The monthly payment on a $40,440.21 loan at 3 percent for 20 years is $224.28.
    Thanks

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