How much is the monthly amortization?
This would depend on the amount of loan approved, the rate of interest, and the terms of payment you have chosen. The most common is the diminishing balance method. This is ideal and equitable to the borrower because the interest will only be applied to the remaining balance of the loan. For this type of financing, you can refer to the “Important Facts to Know” in this website and click on the “monthly mortgage amortization”. Using the factor table, you can compute the monthly amortization by simply multiplying the loan amount with a factor. This will be explained in detail with examples in the link. If the interest is fixed, you simply multiply the loan amount by the interest charge per annum and add the interest on each year to the principal and divide by the total number of months the loan has to be paid, and you will get the monthly amortization ; or you may contact us and we’ll e glad to compute it for you.
