Balloon Payment Loan

With the Balloon payment loan calculation you can calculate the periodic payments for loans in which at the end of the loan, there is still a non-zero final amount due to the lender.

To view the amortization schedule, select the Show Details command in the Calculation menu.

To toggle between date and year/period view, click the header of the first details column.

To change the start date, select the Start Date command in the Edit menu to open the Date Options dialog.

Input

• nominal annual rate
• compounding frequency
• payment frequency
• number of years or payments
• present value
• balloon payment

Results

• periodic payment

• amount paid off over time

• total paid

• total interest

Example

•

A contract is signed for a $10,000 loan. Interest is at 8 % compounded monthly. The debt is to be repaid in 60 monthly installments.
At the end of the loan a final payment of $1,000 is due.

What is the monthly payment?

Input	Nominal annual rate:	8 %
	Interest is compounded:	monthly
	Payments are made:	monthly
	Number of payments:	60
	Present value:	10,000
	Balloon payment:	1,000

Result	Periodic payment:	189,15

Answer: The monthly payment is $189,15.

Related topics

Prepaid Interest Loan

Extra Principal Payments Loan