How do you calculate interest (for a loan/mortgage)

[Katymac]

I used to know how to do this but I can't remember

I am using a spreadsheet but I keep coming up blank

Please help me?

Bump

Try this

Thanks I can't get it to download atm - I'll try again later

I'm sure I knew

Is it something like
(amount X interest)/12 = A
plus
(amount-A X interest)/12 = B

No that's not right - is it I need the repayment in there too

Come on - maths people - I need help?

I think they front load the interest payments too, so it isn't as straight forward as that. You need to multiply the amount by 1.058 (if the interest rate is 5.8%) and keep doing that for 25 years! ie:

100000 x 1.058 = 105800
105800 x 1.058 =

and keep on doing it 25 times to calculate the compound interest. The divide by 25 and then by 12 to arrive at the figures. However, you are paying off parts of your mortgage each year, so you would need to take off the repayments. Very complicated and probably very inaccurate too. It would be much quicker to use a mortgage calculator on line.

I hope you follow all this gibberish.

That makes sense

Kinda

now I need to work out the redusing balance thingie - I think

Don't know if this is any help to you, I find it quite easy to use -

www.mortgage-calculator.gb.com/calc/advanced_calc.htm

Thanks - Appreciate it