Loan Amortization Schedules

A loan's periodic payment amount is calculated such that the customer repays the loan in equal amounts over the term of the loan (with the exception of the first and last bill segments, which are typically for different amounts). The amortization schedule is a projection of the amount of principal and interest in each payment over the life of the loan. The amortization schedule may change, for example if the interest rate changes or the customer makes an overpayment (reducing the principal balance).

The amortization schedule is a theoretical projection of the future. The term theoretical is used because the customer's actual payments can cause the schedule to change. For example, if a customer overpays a bill, the loan's length decreases and the amount of principal and interest in each scheduled payment changes.

A loan's amortization schedule is calculated when you click the Calculate button on Loan - Main . When this button is clicked, an algorithm plugged in on the loan SA type actually calculates the amortization schedule.

You can view a loan's latest amortization schedule using Loan - Main . You can also change the loan's payment periods or periodic payment amount on this page and recalculate the loan's amortization schedule.