Loan Account Interest

System
System Posts: 100,537 🤖 Admin 🤖
edited June 9 in AAT member discussion
I'm posting this on both Forums in the hope that it may be seen and answered on at least one!

The only accounts I do nowadays are my hubbies (reviewed by qualified accountant) so I'm always a bit rusty! I should know this, but can't remember how to work the split between capital and interest repayment on a loan. :oops: Hubby took out a loan to buy a van - £8000 over 3 yrs APR 6.9%. I seem to remember using a formula in excel, but can't think what. Anybody any ideas?

I know I'll kick myself when I find out.

Jan


Comments

  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:Loan Account Interest

    I would work out the total amount repayable by monthly instalments from the inception of the loan then take this from the amount actually loaned and the balance will be the interest that is charged on the whole loan.

    Kind regards
    Steve
  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:Loan Account Interest

    Thanks Steve,

    That just seemed too easy - I was just having a senior moment! I've got the paper work, so I know how much is interest. :roll: Think I used to work off someone who used to make it much more complicated!

    Jan

Categories

Privacy Policy