Interest only loans w/ minimum payment

[condoman]

I am trying to create a spreadsheet for different loan structures. I am having difficulty with this last one.

I want to calculate the payment on a interest only loan where the mortgagor can pay a minimum fee. (This is very similar to a credit card payment structure).

The loan amount is 496,500.
The rate on the loan is 4.762%
The minimum monthly payment is .95%
The period is 30 years.

Any ideas???

 

[golf4]

Hi -

You may want to check out the Microsoft website for Excel templates for loan payment schedules:

http://office.microsoft.com/en-us/templates/default.aspx


HTH,

Frank

 

[RalphA]

Condoman: If you will only state all the rules that govern what you are talking about, you will get your answer. Without knowing the rules, anything we can come up with is stricktly a guess!

For instance, are the monthly payments to be equal? Obviously not, since a 0.95% payment of the original loan amount would pay up the debt in ess than 30 years. However, paying only 0.95% of the remaining balance every month cannot pay up the loan in 30 years. So, what is the rule to follow for the monthly payments? Do tell us.