Overhaulin' - Calculate Car Loan Payments Knowledge Base

Calculate Car Loan Payments Knowledge Base

How are car loan payments calculated? My friend got a loan from Honda on a new Civic for 1.9% (several months ago), then realized the payments are caluclated exactly like a home mortgage (with higher interest and lower principle payments near the beginning). What is the normal formula for a car loan? I'm guessing the mortgage method is useless to Friend because auto interest isn't tax deductible. Right?

I want to reduce my car loan payments how? currently I am paying a $40,000 car loan payment at a 6.25% but they say is a daily interest rate, I am making $600 dlls payments every month, but I think it is too much. I wanted to see if there is any way of saving me some money by doing something else, also is there a way to calculate myself my car loan balance, I read online that it is hard because the banks use a different software etc. any advice would help thank you.

Excel function for adding extra principle to monthly car loan payments? How do you calculate how many payments you would avoid, and how much interest you would avoid on a car loan, with the help of excel. Basically I'm looking for a formula function, that I can input with term, rate, price, and extra principle. Any help would be greatly appreciated.

Calculate the monthly loan payments needed to pay off a 3-year car loan of $4500 at the annual interest rate o? a. $145.73 b. $208.11 c. $189.74 d. $138.76 Calculate the monthly loan payments needed to pay off a 3-year car loan of $4500 at the annual interest rate of 10.25%

How to calculate monthly car payments? If I would buy a car for $16,000, with 2.9% interest rate, 5 year loan what would my monthly payments be and what would be the equation for calculating the payments. I'm actually more interested in finding the equation and understanding it than finding actual payment amount. I want to learn how to calculate the payment. I don't want to just find out what it is.

how do you calculate your monthly payments on a car loan?

Personal Accounting Set Up - How to enter a Car Loan? Let's say that I purchased the car for $15,000 After the term of the loan is over and paid for it will be $17,500. Under "Fixed Assets - Car" do I put $15,000 or $17,500? I am guessing that I put $15,000 and calculate the rest under "Car Interest", no? The interest is already calculated in the loan and set to $2500 and included in the total of my monthly payments, that won't change... So...? Is it still separate? For the interest, do I put in the monthly interest amount via the loan rate percentage, say 3.9%? My monthly payments will not change... and calculating by percentage it may not come to the same whole number that the loan payment is set to. Then there's the monthly "Car Payments" I put under expenses, of say $175, which includes the interest on the loan. I cannot separate the interest from the monthly payments, but somehow I must separate the interest from the true value of the car, correct? How do I do that? When calculating "Car Depreciation" I will use $15,000 as the starting number, correct? Since that's how much it was originally worth. I also put a down-payment of $1000 to reduce the monthly payments. Where do I enter this into the equation? The software I'm using has loans set up as such: Basic Car Loan Account Structure -Asset -----Current Assets ---------Savings Account -----Fixed Assets ---------Car -Liability ----Loans --------Car Loan -Expenses ----Interest --------Car Loan Interest ----Car Loan Adm Fees

How to calculate loan payments (without online calc)? Its for a math project where I have to show my work, and for some reason I completely forgot how to do the stuff. We're doing recursive formulas, and I need to figure out this: How do you calculate how many months it will take to pay off a car with a monthly payment. I have to have three different payments, but just show me how for the one below: u(0)=600910 u(n-1)*(1+(.025/12))-3000 Also, how do I find out how much you have to ACTUALLY pay by the time its all done. Please help! :(

With a paper and pencil. How you you calculate a monthly car payment on a loan of 25k at 6% for 6 years.?

What is a formula for calculating how much my monthly payments would be on a car loan? Isn't there a formula for calculating how much your monthly payments are on a fixed-rate loan where you know the term, the amount financed, and the interest rate? If someone could post that, I would appreciate it. If you need to show me an example - here are the #'s: $22,870 over 72 months @ 3.9% Thanx

Can anyone help me calculate the interest on a car loan of $20,000 for 5 years at 7% ? Formulas ? I know there are alot of online calculators available, but I need to know how the interest works for car loans ? I am trying to calculate the interest myself without using an online calculator and my monthyly payments.

Trying to calculate on a car loan? Can someone tell me if there's an online calculator that will show me how much I'm saving by paying ahead on my car loan? I want to know how much money I will save and how fast it will be paid off. (fixed APR loan, no pre-payment penalty) Thanks for the links.

Is there an online reverse car loan calculator? Say for example I would be able to afford $300/month for a car payment. How could I calculate the total value of a loan that I could afford?

How to calculate total interest on a car loan? Can anyone help with this? My current auto loan is at $16,832.54 and if all payments ($349.91) are made on time will be paid off 7/21/13. The current interest rate is 12.65%. If I could get a rate of 6.9% and make the same payment amount, how soon would it be paid off and how much would I save in interest? (This was the type of math problem I was never ever able to do!!!!) Thanks for your help!

Car loan finance question? You wish to acquire a new car. The car will cost $30,000. You can borrow the money to buy the car from the bank. The bank will charge you 6% compounded semi-annually. The loan will be for 5 years. Payments on the loan will be made at the end of each month. As an alternative you could lease the car. The leasing company will charge 8% compounded semi-annually. The lease will be for 5 years. At the end of the lease there is a balloon payment of $15,000. The monthly payments on the lease will be made at the beginning of the month. Calculate the amount of the monthly loan payment. Calculate the amount of the monthly lease payment. interest 3% year 10

How do you calculate the interest rate on a car loan? If the interest rate (as an example) is 18% on a loan of $8000 what would be the monthly payment over 60 months and how do you calculate it?

Used car loan with bad credit but great cosigner? I want to get a used car so I am researching loans and trying to calculate my monthly payment to figure out how much car I can afford. What kind of rates and terms should I expect if I have bad credit (just declared bankruptcy) but have a great cosigner (my grandmother)? I have $1000 to put down. Oh and any suggestions about what kind of car are welcome too. I would like an Integra or something like a Civic.

My girlfriend is behind on her car loan and has been threatened with repossession. To make matters worse, she? My girlfriend is behind on her car loan and has been threatened with repossession. To make matters worse, she had an accident (her fault) the same day her insurance lapsed and did $3000 damage to the car. She cannot afford to repair the car or make payments anymore so she is going to give up the car for voluntary repossession. My question is: When the car is sold and the deficency amount is calculated, will making a small payment each month keep them from pursuing a judgement against her? Optional Information: Dallas, Texas

Can my 18 year old get a car loan? My 18 year old son needs a car. He works at Walmart about 25-35 hours a week and lives at home with my wife and me. I am curious if he would qualify for a $4,000 car loan. Calculating it out, the payments would be under $150/month. My credit score is 620, and I have a bankruptcy two years ago, but I did get a $12k car loan a few months ago at a high interest rate. So I am wondering if a bank would put me as a co-signer still. Would the loan being only $4,000 help?

How is a car loan interest calculated? I am looking at getting a new car, out the door the total is $18,925. It would be 5.25% interest on a loan, and I was looking at doing 72 months. When I do the math I get a total of 19,918 and over 72 months the payment comes to $276. However, the dealership said it would be $305 a month over 72 months. When you multiply that out it comes to $21,960, can someone please explain the $2,000 difference, and how interest is calculated?

How can I calculate my car monthly payment - at the dealership? Where can I find a amortization chart, or a formula for my calculator to take to the dealership if I have to use their financing (I have a 5 year old bankruptcy) They will rip you when they start asking what you want your monthly payment to be - for me it is the interest rate and amount of time for the loan. I need to be able to calculate this stuff based on interest rates they will give me - there at the dealership. so I wont have my computer to do calculations automatically.

Calculating Loan Payments? You want to buy a new sports car for $68,500 and the finance office at the dealership has quoted you a 6.9% APR loan for 60 months to buy the car. What will your monthly payment be? Please show how you got your answer, though any help is appreciated. Thanks. Also, if this can be done with a financial calculator (such as a BA II Plus), information on that would be great! Thanks again.

How do you calculate finance charges on a car loan? Financed $23,927.00 (60 months) 5.5% APR. Papers state "Dollar amount credit will cost you: $3,557.80." How was this calculated? I thought you'd multiply total amount financed, $23,927.00, by 5.5% & that would be the finance charges - apparently I'm way wrong. Also, how do they calculate how much of each payment is applied to the interest? For instance, my payments are $105.72, deducted weekly from my paycheck. Typically approx. $80.00 is applied to principal & the remainder to interest. Also, while my payment / deduction remains the same every week, $105.72, why does the amount applied to the principal and interest vary each week? Sometimes $80.75 goes to principal & $24.97 to interest, sometimes $76.03 goes to principal & $29.69 to interest, etc. - it's different every week. I got printout of last 3 years' of payments and also found where approx. 2 years into the loan they applied $25.00 from one of my payments to a "Fee Assessment" with no explanation - payment was not late either. Okay you're still not answering my question. I am not "running around to get an auto loan quote" - I ALREADY have one, I need to know how they are coming up with the finance charge amount based on the APR - I can't figure out the formula they're using. And I have tried searching on Yahoo for the formula to figure this out but I can't find anything specific to what I am trying to figure out, so I was hoping somebody who already knows the formula could just tell me. Thanks for your answers so far but they're really not addressing what I am asking.

How would I calculate the monthly payment, I would have on a used car.? The car costs 5, 000 and is at 12% interest for three years. How would I also calculate the amount of loan, interest on loan, total amount of loan, and monthly payment

Finance class - calculating loan payments? I was wondering if someone could show me how to do this problem, I have spent a while looking at it and cant get the answer they came up with. You want to buy a new sports car for $73,800 with a 6.2% APR loan for 60 months. What will your monthly payments be? What is the effective annual rate on this loan? The answer for the first part is $1,433.63 and 6.38% for the second part. Can anyone show me how they got this? Thanks in advance!

Paying down a car Loan to improve DTI when getting a mortgage? Hello, I heard that if I have less than 10 payments left on a car loan, it won't be counted against by income when calculating DTI ratio when getting a mortgage. Is this true? Also, can I pay a large amount now to make the balance less than 10 x minimum payment?

Monthly car payments with interest? I want to buy a car for $22,000 Calculate the monthly payment and the loan amount and the total amount you would be borrowing, paying to principal, and paying to interest for at least two of the loan term options below: 3 year: 3.0%4 year: 3.5%5 year: 4.0%6 year: 4.5%

How do they calculate interest in your car payment from your principle balance? I would like to pay off my car loan, however I'm confused about the principle balance and the interest rate. The loan is 36 mo's, and interest included in the payments. When I try to pay ahead they just apply it to my next car payment. On my monthly statements it's only showing the principle balance, which again is including the interest. So my question is if I pay the principle balance how much interest will still be owed on the account? Also I need to know how I go about paying just the principle balance on the account? Will this help me get lower interest? I think I might have what they call a pre computed loan. If so is there any way this can be paid off early?? I thought you were supposed to be able to save money when you pay things off.

25k loan,6%,6yr A simple interest loan on a new car, how do you calculate the payment with paper and pencil.

Where is my monthly payment being calculated from?! APR on car Loan? Hello. Just bought a new car today (Ford for those that are wondering). Yippie! I bought it for $27k out the door with $5k down. The APR on the car is 2.9% for 48 months. Financed: $22,000 APR: 2.9% Period: 48 months So I'm just running the math now to see how all this was calculated (I like to test my brain mathematically). What I don't understand right now is part of the "Federal Truth In Lending Disclosure" box on my invoice receipt. It says that the "Finance Charge (The dollar amount the credit will cost you)" is $1,351.52 It also lists that my monthly payments will be $486.49. How did they come up with this number. Shouldn't it be $22000/48 x 1.029 = monthly payment? Its not a question of affordability (well below what I was expecting to pay), I just don't understand how $1,351.52 comes out from 2.9% of $22,000. If anyone could shed some light on this, that would be great!!

How to calculate my loan's monthly payment? I'm buying a car. 200,000 is down payment and 300,000 will be paid at 14% markup in 3 years. The monthly payment is 10253 approx. How did the bank calculate it? GB

How do they calculate the interest % rate on a car loan? So I just got a new used car last month and I just made my first payment a couple days ago, and I think their calculations are wrong according to what my contract states. I borrowed $15,999.01 from the bank @ 12.75% interest rate for 72 months. The contract states I will have paid a total of $7,095.60 in interest within that 72 month period, which totals to $23,094.61 I would have paid. Now question is, I was just looking at the payoff amount of my loan which is now $15,871.37!?!?! I already extimated this according to the contract, and I should be paying $3.24 a day. My contract started 3/12/2010, and the due date is 4/26/10 that is 45 days @ 3.24 a day = $145.80 (interest) I made a payment of $340.00 so $194.20 should have went towards the principle balance, which should make my pay off amount to $15,804.81. I am not sure how they go by grace periods. But if they were calculating it by $3.24 a day that would make it almost a 65 grace period. SO according to their calculations it's $5.54 a day. I paid $212.36 in interest out of the $340 I paid them. Which totals to $12,132.60 total interest paid in 72 months. Which adds up to $28,131.61 I would have paid for the car after 6 years. Please someone help me, how they calculated it like that? Am I right should I scream at the bank WTF???

you have purchased a car for $178,000.you have financed your purchase with down payment of$35,000 and a bank? loan for the remainder at an interest rate of 7.5% compounded annually.the car loan is to be paid over a period of 8 years .payments are to be paid at the end of each month with the first payment due in one month .calculate the monthly payment on the car loan?

Finance Homework : Loan with Ballon Payment? You wish to acquire a new car. The car will cost $30,000. You can borrow the money to buy the car from the bank. The bank will charge you 6% compounded semi-annually. The loan will be for 5 years. Payments on the loan will be made at the end of each month. As an alternative you could lease the car. The leasing company will charge 8% compounded semi-annually. The lease will be for 5 years. At the end of the lease there is a balloon payment of $15,000. The monthly payments on the lease will be made at the beginning of the month. a) Draw a detailed timeline and label each component of the timeline clearly for both the car loan and the lease. b) Calculate the amount of the monthly loan payment. c) Calculate the amount of the monthly lease payment. I have completed the monthly loan payment portion, but I am struggling with the monthly lease payment. The ballon payment at the end of the 5 years will impact the monthly payment I think. And I dont know how to account for that.

Car Loans and intrest paid due to late payments how long and how much she be paid? I have been paying on a car loan since 2001. The intrest rate was calculated via this company paying off for my trade in which Ieft a total of $10,000 on. I have a 1998 Ford Explorer and with payments of $470 it was becoming difficult to pay on time with my other bills. I was charged late fee with the late payments and now they are charging me a additional finance charge on the account. I was told this was the intrest on the late fee(s) in the amount of $5000.00. This company has repoed my car when payments were made in error having to bring my car back to me due their error damaged and now they are charging me a additional $5000. The amount of the loan was $26,000 this includes the $10,000 from my trade in and the intrest rate was 21%. I did not know they can charge you a additional amount on the intrest. So I was charge late fee(s) when late and they charged intrest on the late fee(s). Is there something I can do to avoid this add'tl $5000.00 the value of the car is $2000.

20% down on house or pay off low interest credit card and/or car? We are planning on buying a new house. We have enough money to put a 20% down payment. We also have credit card and car payment debt that is a little less than the 20% we could use for the house. The interest rate on the card is 4.99%. The car loan is 6.4%. The home loan will probably be 6+%. Since the interest rate on the credit card is less than the rate of the home loan, would it be better to put the 20% down on the house and then try to pay off the card and car loan in a few years or would it be better to pay off the card and car loan now and and just put 5% down on the house and have to pay PMI? Or maybe something in between like pay off the card but not the car (or vice versa) and put 10% down on the house. Is there a calculator out there somewhere to calculate the cheapest route? Thanks... We are working on paying down the credit card and car loan. At current rate they should both be paid off in about 4 years.

Taking a larger car loan to pay off a credit card loan? I'm about to purchase a new car. I should be able to get a fixed rate of no higher than 6%. I have a few thousand in CC debt at 11.5%. Should I take a higher amount on my car loan to totally pay down the credit card? I've calculated the extra in the monthly payment and it's less than what I'm paying on the card. However, I'm worried there are some other drawbacks I'm not realizing. Thanks I would pay off the card first if I had a choice. However, my car is very close to dead and I need a new one (not new new but still need a loan).

Calculating a car payment? Is this the correct way to calculate a car payment? For ex. Interest = Loan Amt x IntRate x Duration $12,000 x .130 x 5yrs = $7800.00 (total interest) $7800(int) + $12,000(loan) = $19,800 (total paid) $19,800/60(num mths fin) = $330.00 Monthly car pymt If not please let me know what i'm doing incorrectly...thanks...I've used the pymt calculators online but i want to know what the fomular is...thx

How to plan and calculate loan for building a home? I recently paid my car off and I have good credit. Not the best score, but good. I have some money saved up and live on good size farm, but I don't want to sell my land that I lease out. Plus I do have a full time job and get some money monthly for rental property--little income there. My current home is paid off--inherited and I plan to rent it out as well. I want to build a home on my farm. I am just not sure of the how to go about calculating and knowing the interest rate and all that and to know if my down payment would be adequate. Sorry, but I am clueless to this process. I tried doing an online mortage calculator, but then at the end, I had to give information to get different lender's offers. I really just want to do this myself to get an idea. Do I have to go to my bank first or is there a way to do this without contacting them first and not giving personal information to other lenders online? I think I would want a fixed rate, but I don't know the interest rates.

How is the interest calculated in a car loan? I am trying to figure out what formula is used when calculating interest rate for a car loan. I have been using I=PRT but it doesn't come out to what the car loan calculator shows. my Principle is $23,996.16, Interest is 2.9% and Time is 60 months or 5 Years. The Car loan calculator returns $430.11 as monthly payment. But when I apply the formula and do it manually, I get $539.713/month. This is how I do it. I = {{$23,996.16 x (2.9/100)} x (12/60)} = $139.777/month on interest. $23996.16 / 60month = $399.96 $139.77 + $399.96 = $539.713. What am I doing wrong? Please help. Sincerely, Peter T

How do I calculate my monthly payment if I get an auto loan? Let's say I put down $10,000 for a $40,000 car. If I have a 700+ FICO score, how can I determine the interest %? 5 year loan?

Car loan for $10,000 interest rate is 9% per year, loan payment is $207.58 per month, for 61 months.? Calculate the total amount of interest you would pay. Thank you for your help..xo CAN YOU PLEASE SHOW THE WORK. I DO NOT UNDERSTAND THIS AT ALL......THE ANSWER SHOULD BE $12,455.01 THANK YOU

To pay off a car loan 12 months early... what would my final amount to pay be? I am wanting to pay my car off 12 months early on a 36 month loan. The loan was for $9000.00 with a $1700.00 trade in = $7300.00. My interest rate is 9% which brought the total after 36 regular payments of... $9000.00 (weird). The dealer calculated a payment of $250 a month with the last being a little less. I don't know what method they used for the calculation other than what a bank told them to use and the dealer isn't quite sure what my pay off amount would be by paying off the loan on the 24th month and the banks are closed for the weekend. Any ideas as to what my final amount should be roughly? Oh and to add... I have never been late and have always paid $250 a month. No extra payments have been made nor have there been any defferred payments. If I just make a standard payment on the 24th month... my regular balance would be $3000.00 Gerald... I am not lookin to buy a car... I'm tryin to pay off what I currently have. READ

Is there a problem with transferring car loan to a lower interest credit card? I have a 1.99% till the blanace is paid off offer from Citibank. We get these offers all the time (not usually this low), but always ignore them. We do not carry a balance on our credit cards and besides our mortgage and car loan have no outstanding debt. Our car loan is 5.75%. I talked to Citibank and asked if we could use the "balance transfer checks" for anything including paying off a car loan. They said regardless what the check was written for, even if we just kept the cash it would have the 1.99 rate until paid in full. We will not put anything else on the credit card to avoid paying different rates for different things. We also have no problem paying AT LEAST the loan payment amount we pay now towards the credit card each month. I calculated the savings, we would end up saving almost $3000 by shortening the length of time to pay off by 7 months.Can anyone see a problem with this? I'm just wondering if this works, how come nobody else ever does it?

How can I get a car loan? I have a tennants-in-common mortgage and need a new car? My friend and I have bought a house as tennants-in-common. We both own half. I need to buy a new car now, but the lenders calculate my potential debts as including my friend's mortgage payments towards my house because if she defaults, I will be liable to cover her payments. Since I could not afford to pay both sets of mortgage payments myself, the lenders won't give me a car loan. What can I do? I already have a crappy old car. I want a new one and on my salary, taking my own mortgage payments into account, I can easily afford to pay back a personal loan in about 4 years. I could save the money, but I need it sooner than that.

Car Loan Question: Paying off loan early by paying payment first day it's due NOT on due date (less interest)? I just got a car loan. Let's say it's $10,000 for 60mo at 6%. My first payment is due on the 15th of the December. I paid this first payment on November 25th...and thus paid 10 days worth of interest. A LOT LESS THAN WHAT THEY SAID I'D PAY. A majority of the payment went to the principal. Because this is a Simple Interest loan, I'm wondering if I can do this every month? Can I pay my payment that's due on January 15th on December 16th and pay only 1 day's worth of interest (causing even more of the principal to be applied)? Or by making the payment early the first month on the 25th did the interest start calculating again on the 26th even though it's not due until January 15th? I had a simple interest car loan 10 years ago & when I made the payments that were due on the 1st of the month on the 2nd of the previous month I'd always have less than $2 applied to the principal & thus paid off the loan in a lot less time. Is this possible? I'm trying to knock off several months. I am trying to pay the loan off early and I've done so in the past with other loans like this. It is simple interest and TRUST ME, I have contacted the credit union several times & they look at me like I'm retarded. LAST LOAN: I paid my payment on the first day I could (usually the 2nd of the month). I only paid 1 day worth of interest & a majority of the payment went towards the principal. I did this every month and knocked it off 11 months early! My cycle started on the 2nd of the month (since my payment was due on the 1st). It then calculates it every day for that month & you pay the total interest based off of when you pay your payment (ie: on 25th=24 days of interest). On the 2nd it would re CURRENT LOAN: If I made a payment on the 11-16. (due 12-15) then I would of only paid 1 day of interest. My problem is that they charge me almost 60 days of interest if I pay my next payment on the actual due date (1-15). Is this right? Why is this different than my previous loan?

Car Loan Issue- Please help ? I bought a new car by way of financing. While getting the loan, I had agreed to about 6000 dollars worth of extras ( Lojack and extended warranty ). The monthly payments were calculated based on that total figure. I realised three days later, I didnt need the extra stuff and asked them to rework the math. They said that the loan has already been taken, but since I havent allowed any of the extras to be installed in my car and I also cancelled the extended warranty, I will be fine once I finish paying off the amount which I owe them. Even though the loan amount remains the same. My concern is that, as of right now , I am paying interest for things I dont need, but thats allright, do you think they will make me pay for something on my loan for things I never purchased or had installed in my car. I have the paper stating that I have cancelled the extended warranty. Is this a normal error ? My loan is for 16,000 dollars , but effectively I only owe them 10,000. So once I am done paying off the 10K, they will allow me to have the title in my name, as per what the finance manager said.(inspite of me making payments on my 16,000 amount every month ).

Can you help me how to calculate the APR by the calculator , and how does it apply to a loan ? Thanks a lot? Ex: A car's price 10,000; 5%APR within 36, 48 and 60 months. We pay monthly: $300*36 = 10,800; $230*48 = 11,040; $189*60= 11,340 We pay 800, 1040, or 1340 or the interest . How does the borrower calculate monthly payment for us base on the APR and the time length ?

Car Payments Question!? Ok. We have about 8 more months lseft on our three years loan and tomorrow we are wanting to pay off most of it, except a few hundred, we'll be paying about $2000.00 tomorrow. (Trust me, we can't scrape up enough to pay the entire thing off due to many other financial obligations we have) What I need to knwo is, how will they calculate our monthly payments with just a few hundred owing and 8 more months to go? Is the payment still going to be the same amount? Do we still have a monthly payment or just have to have it payed by the end of our term? I'm sure we'll have payments but just don't know how they'll go about calculating them. Thanks in advance. The interest rate on our car is a whopping 19% .... .. I know, sad! And our balance owing after tomorrow is $400.00. Will we still have 8 months to pay the rest? Thanks!

Why are all car loan payments calculated like this? P(i) _____ (1 - (1+i)^-n Where P is the principle amount, I is the interest rate and -n is the negative exponent of the number of conversion periods. But I don't understand why it's calculated in THIS formula? What's the theory behind this formula, because I need a formal PROOF!

How do I calculate the monthly payments when financing a new car? If the car is selling for $24,000 with financing for 60 months at 7% interest. How do I calculate the total cost of the loan and more importantly how do I calculate the monthly payments.

I just been approved for a car loan? I just been approved for a $8000 car loan, it's my 1st purchase and it will be a used car. I planned on using the whole loan to purchase the car, but as I try to find the car I want I keep seeing down payment for the car. Did I calculate my loan wrong and if so can I change it?

Can anyone answer a couple car loan (from bank) related questions for me? First, say I get a $6,000 car loan and put $1,200 dollars down. Let's say it is a 2-year loan and let's also leave out the interest factor for simplicities sake. Will the monthly payments be calculated from the initial loan amount (6000/24=250 per month) or the sum remaining after the down payment (4800/24=200 per month)? Second, I've googled around a bit to find the average car loan length and was a bit surprised to see that it was about 60 months or so. That seems like an awfully long time to me. Though I understand that brand new vehicles are in the tens of thousands. If I was going to take out a car loan for say, $10,000 and put $2,500 down, what length of loan do you think the bank advise I get? Thanks.

Help on Calculating monthly interest and apr on car loan..? I made a car loan of 10,245.54, the APR rate is 10.6%. The Finance charge is 3,705.90 Now here is the question i am making big payments so i can finish repaying the loan as soon as possible. The payment term is 72 months. How do i calculate the monthly interest to see how much interest im paying off? I know the monthly interest is .84% do I multiply that by for example 10,245.54? now if I pay off lets say 2,000 dollars next month instead the 193.77 that monthly payment schedule? it would be 8,245.54 not inclduding the interest. But I don't know how to calculate in the interest? Do I multiply 8,245.54 by .84% or the original amount that is lended thats the amount of interest being paid? 10,245.54 x .84% each month??

How do I determine the terms of a loan to attend a college and a car? I have to find the interest rate and duration of the loan, calculate the full amount of the loan and calculate the monthly payments for a project if I don't know what exactly to do. I'm looking at bank sites and I can't find the interest rate for a loan (well for the ones I actually have an accounts with), or know what type of specifc college or car loan I'm looknig for. Anyway, what sites would be helpful for this process and do you have any advice because I'm completely lost?

Help with calculating loan payments? (math problem)? I have two math questions that I don't get. (Please explain!!) Calculate the monthly loan payments needed to pay off a 3-year car loan of $4500 at the annual interest rate of 10.25%? also-- the answer definitely is not(roughly) 163.... that's what I got and that's not it. and Determine the present value of a 30-year loan with an annual interest rate of 6.5% with loan payments of $1856.82. Interest is charged 12 times per year. Thanks!!

Need help with calculating my car loan payment offer? the loan is for 19000, the interest rate i got was 7.7% The offer to me was 440 a month over 60 months. When I used an amortization calculator online the payments came up to only 390 a month for 60 months. Which is correct? Am i calculating wrong?

MATH HOMEWORK problem. HELP PLEASE !? Okay, so I have this HUGEE math project due next week, like tuesday or wednesday and I have no idea how to do it.. if anyone could help i'd greatly appreciate it. heres the info : Choose a car to purchase (virtual), new or used, practical or dream ; Research the cost of taxes, dealer fees, and licensing fees for car purchases Research financing of cars and determine a reasonable rate of finance and length of loan for your car Calculate the total cost of the car, including taxes and all fees Subtract a reasonable down payment Calculate the amount to be financed and the monthly payments for your car loan Research the cost of insurance for a sixteen year old driver for your car for a six month policy Calculate the monthly payment for this policy Estimate the number of miles you will typically drive your car each week ; Research the cost of a gallon of gas in your neighborhood. Use this information, along with the mpg for your car to calculate the monthly cost of gas.

Can finance companies charge interest on late payments? When you make a car payment late can the finance company charge you interest on that payment for the life of the loan? So that when you make the last car payment they want a interest payment because the interest is calculated daily on the late payment.

I have a car loan at 14.9% (It was my first car, and I had short credit history). How does this work? If my loan was for roughly 11,000, does this mean I pay 14% of 11,000? Or is interest calculated differently....like after my first payment of x ammount. Whatever is left over is then put at 14% of that?

Calculate Percentages w/Down Payments? I have a finance problem I am working on and I am trying to figure out if there is a formula for calculating percentages without using the good ole' plug and chug method. For instance... You would like to buy a car. You can afford a car payment of $325 per month. Your bank is willing to extend you a 5-year loan at a rate of 7.75%. Your bank requires you to put a 20% down payment. a)What is the price of the car you can afford The present value comes to $16,123.46. If I were to simply multiply by 1.20 the answer would come to $19,348.16. However, I know the answer is $20,154.33. I know I can just keep plugging in numbers to find the correct answer, but there has to be a formula that I am missing. Anyone help?

How do I calculate the present value of buying new car? The car now is :$22000 The saleman offers N = 5 yr PMT = $350/mth Down PMT= $3000 Interest rate = ???? I dont know what to get, i just get the t-bill one. If i am wrong, please let me know. I have a HP 10BII financial calculator? do i plug these into my calculator? N=60 (5 x 12) PMT = 350 PV =3000 I/YR = 4.94 (5 yr yield from t-bill 6/5/2006) <- not sure should i use t-bill rate or not 4.94/60 For FV, i got $24,669.85; however, this is the price i am going to pay in 5 yr. How do I know the PV of the car? Another question, some people take out loans to buy a car, if i want to take out 5000 for down pmt? How do I compare them? I mean should i borrow or should i make a monthly payment or should i payoff the car?

Anybody interested in doing this program? Its difficult.? Car Loan Program Write a C++ program that reads in financial input from a customer and determines if a customer qualifies for a car loan. The program should print whether the customer is eligible or not and also print the calculated monthly payment. Input- cost of the car down payment amount customer will make annual interest rate as a percent (like 12% not .12) customer annual income number of years of the life of the loan (1 year, 3 years, 5 years…) Output- A message stating if the user is eligible or ineligible and the monthly car loan payment. A customer is eligible if his/her monthly income is at least four times the calculated monthly payment on the loan. Use three functions in addition to main( ). A function to read and validate all the input (values must be > 0) A function that takes in as parameters the down payment, the annual interest rate, life of the loan in years, and the cost of the car, and returns the monthly payment. A function that takes in as parameters the monthly payment and the annual income and returns true if the customer qualifies and false if the customer does not qualify. The only functions that perform input/output operations (cin and cout) are the functions to read and validate input and main( ) which will print the final message to the customer. This is the formula to compute the monthly payment: MP = P * (J/(1 – ((1 + J) ^ -N))) //1 this is a one not an i • MP = monthly payment • P = principal, the amount of the loan (car price – down payment) • I = the annual interest rate (from 1 to 100 percent like 3 or 5) • L = length, the length (in years) of the loan, or at least the length over which the loan is amortized. (like 5 years, 3 years…) The following assumes a typical conventional loan where the interest is compounded monthly. First I will define two more variables to make the calculations easier: • J = monthly interest in decimal form = I / (12 x 100) • N = number of months over which loan is amortized = L x 12 You will need to use the the built in pow( ) function for the exponent. This is how to use the pow( ) function: answer = pow(2,3); //will result in answer being 2^3, which is 8 To use the pow( ) function you must #include

What kind of new car interest rates can I get with a substantial down payment? I have no chargeoffs, and have never been late with any bills, rent, tuition, etc. I'm interested in purchasing a car to replace my gas-guzzling truck now that I've landed a great entry-level financial position, and I'm curious as to what to expect from my situation. The car I intend to purchase has an MSRP of $21,000, and I intend to put right around $9,000 down and pay the tax up front (TX 8.25%). I've calculated some payment estimates, but since my credit isn't established, I'm wondering what type of rate I can expect to pay on my loan. I intend to finance the car for 60 months. With a substantial down payment of more than 40% of the car's value, and net income of $25,000 a year, will I still have a difficult time getting reasonable financing with my young credit history?

Is interest based on original loan amount or current amount owed? Suppose I have a loan (student, car, or whatever) that accrues interest daily. Also, suppose that I make monthly payments on this loan. The interest that has accured since my last payment will be payed off by this monthly payment and what is left of my montly payment goes towards the amount borrowed. So, obviously, over time the amount owed will go down. Anyway, getting to my question, is the daily interest calculated based on the initial loan amount, or the current amount owed? Thank you for your help.

Calling All Mitsubishi Eclipse Owners ? I just wanted to know how much do you pay as premium(monthly or for 6 months) for auto insurance of New Mitsubishi Eclipse(2008/2009) I am trying to calculate how much extra i will be spending for this car apart from my regular monthly car loan payments . .

help with finding loan payment (amortization) formula (installment)? Go to your two favorite car dealers and select any new automobile that you would like to own. Select a car from each site. List each type of car (i.e. make, model, and added options, if applicable). For each car, find the price. Include in the price the dealer prep, tax, title, etc (if applicable). Assume you have $1000 for a down payment. Using the formula above, calculate the monthly payment for each car assuming you can borrow at 8% APR for five years. Compute the total amount of payback for each car. Assume you have a down payment of $2500 and a 12% APR. Compute the monthly payment and the total amount of payback for each car $ 70,825 $105,050

Question about loan interest? My grandpa has offered to give me a car loan to pay for a new vehicle instead of having it financed through a dealer. He is going to charge me 5% interest a month. I am going to pay around $750 a month for the car payment since I want to get it paid off as quickly as possible. I'm a bit confused though. Is it 5% of the principle a month? If it's 5% interest that's nearly $1500 a month just in interest! So I'd have to pay nearly $2000 a month to pay down the interest and get rid of the principle. Is that right or am I calculating this the wrong way?

Calling all 2009 Mazda6 owners ......? I just wanted to know how much do you pay as premium(monthly or for 6 months) for auto insurance of the New 2009 Mazda6 I am trying to calculate how much extra i will be spending for this car apart from my regular monthly car loan payments

Can a couple making $62,000/year afford a $155,000 house? We are getting an offer through the bank for a 30 year fixed Rural Housing Development loan. Our loan officer tells us that there would be no PMI through this loan and it would not require a down payment. We have 2 car payments totalling about $366, student loan payments of about $80, and credit card debt of $15,000. But we have $14,000 in the bank. Plus, from what I've been reading we will get a $7500 credit from the government on this year's tax return (which I understand must be repaid) You think we will be ok with this payment? I calculate it will be about $1100 with propert taxes and hazard insurance.

Buying a used car? Auto Loans? I am looking to buy a used car, but I'm on a relatively tight budget. I don't want high monthly payments, and I'm willing to do a longer lease term. My question is, where do I find out information about car loans? Should I be pre-approved before I even go to the dealership? And if they run a credit check is it a hard hit on your credit? I'm just having a really hard time getting some really good factual answers. What's a good interest rate? Are these online loan places legitimate? How do dealerships calculate how much they're willing to finance? and how much you qualify for?

Auto-loan company changes the terms after 45 months. What can I do? 4 years ago, in 1/2004 I financed my car with 48 month term which will end in 1/2008 and I have the contract with all the necessary info. Last month I contacted the loan company to know how much will be my pay-off amount, then told me that they mis-calculated my loan 4 years ago and that I have to pay 6 more months, till 6/2008. I re-evaluated all the papers that I had with them and saw that they really mis-calculated, but, I think it's not my problem, they had to be careful. I am very angry and don't know what to do. I don't want to pay any more payments than what stated on my contract .

Estimated Payments? Where can i find online a webpage to calculate the monthly payments on a car based on my income? like loan calculator

How do Car Loans work??!!? So, I want a new car because I hate mine. I want to get a Lexus for like 11,000. Year model is 2003 or 4. I think I have a very good credit approval rating, because I have 2 credit cards that I always pay in full every moth. One month I even paid my bill twice because I came so close to my limit. I always pay my insurance bills up front for the year and in full as well. So, I want a really good interest rate if I get a car loan. But, i really hate interest rates, and I want to pay it off as soon as I can. So, these are my questions: 1. If i pay more than my monthly payment, allowing me to repay the loan faster, will it improve my credit score? 2. Do they take the interest rate and calculate it by each month based on my new balance after previous payments? If I pay like 1,000 on my car in a month instead of the minimum payment, I would hope that the interest percentage for the next month's statement would be based on the balance after I brought it down 1,000 dollars. Is this true? So, realistically, it would cost about 700 dollars if I had a 7% interest rate on my 10,000 car loan. As I pay this off, I would expect my interest collection to be smaller and smaller each month as I continue to pay down the balance. And if I pay extra, i would also expect it to be significantly less than 700 dollars in total interest collected. Is this true? Thanks Guillemermro did you even read my question, I said I have perfect credit.

awwwwwwwwwww!!!!!!!! I need geniuses!!? Tameka Taylor owns a home worth $93,000, a car worth $65,00, and furniture worth $2600. Her checking account has a $550 balance. She also has a $45,000 mortagage. $2500 car loan payment, and $3000 due on her credit card account. She also just inherited a ring worth $400. (A) Prepare a balance sheet for Tameka (B) calculate her net worth THANK YOU SOOOOOOO MUCH!!!!!!

Is this legal???? My car Loan Company (HSBC Auto) is not adjusting my monthly payment accordingly. I recently made a payment(Principle only) to pay down my car and have a lower monthly premium. My loan maturity date is in May 2010. The principle amount is at $1512 and my rate is 7.9% and they say my monthly payment is $287.06? They said they calculate the monthly payment by P x R /365 days. That still doesn't compute. I asked them to adjust my monthly payment according to my maturity date. The monthly amount I'm suppose to pay is $68.31.(used bankrate.com auto calculator) They said that they "can't" and "will not adjust" my monthly loan payment. At their monthly amount I'm going to pay this off early. I don't want to do that. I'm tight on cash now and would like to pay accordingly. Is it legal for them to make me pay off me loan early? What steps do you think i should take to get this corrected?

Cost of living vrs Salary calculators? I am trying to show my employers that I need a raise to afford to live. I currently have to work 7 days a week to make ends meet because of so much student loan debt. I was wondering if there are any calculators, or just ways to calculate what is a necessary salary when you take a staff persons debts or normal monthy costs of living into account. I have made my own charts where I show all of my monthly expenses that are more or less necessity to WORK at that said job (rent, gas, student loans, car payment, car insurance payment, cell phone, minimum credit card payments) and show how my salary isn't enough to pay all of those bills. But I was just wondering if there are calculators out there. Thanks!

refinance car or get home loan? Ok, so here is the scoop. I live in Phoenix Arizona, I'm 23 and I do fairly well for myself. I have a 2005 BMW 330i that I bought last year and my credit score was terrible back then. Somewhere around 590 or 600. I'm paying a 14.99% interest rate and my payment is 645$. I can easily pay this, but I realize that now, since my credit score(according to Equifax) is now over 700, I could probably get a much better interest rate if I refinanced. I'm not sure if this reduces my Debt to Income ratio. If its calculated on a monthly basis, then it probably would. Most of my accounts on my credit are only from the last couple years, and I have a few already in this last year so I don't really want to go and open a new one all that bad in fear it will hurt my score. In January, My lease will be up on my house(for the 3rd full year) and I plan on purchasing my own. Should I wait till I get my home loan? Or would it be wiser to wait refinance and try to get my DTI down? (I make ~8k/month) Also, if anyone out there could give me a general Idea on how much I might qualify for(as far as dollar amount is concerned) that would be great as well. Thanks! If you need more info from me let me know. To help give you a better idea, the car was purchased for $23,000. My previous car unfortunately was upside down 5k. + tax title etc it was a 31k car loan. Its down to $28000. but now since I drive double the normal milage, the car is now only worth about 18-20k. Does that hinder my ability to refinance? Isn't the most important thing wether i'm able to make the payment? I've been making a 645$ monthly payment with ease and always on time. Its an automatic deduction.

How can I figure out much I'll owe on loan? I have a car loan through the bank at 8%. As of my annual statement date of Dec 31 my balance was $4630.16. My payments are $142.56 and made bi-weekly, the last one being on Jan 15. I'm trying to figure out how much I'll owe on April 9, because I want to pay off the loan with my income tax. I used to know of a website that would calculate it for me (how much is paid to interest and principle, how long left to pay, and what a lump sum on a specific date would do to it, etc), but it's not there anymore. Can someone please direct me to a site that can calculate it for me, or if there are math whizzes among us, think you could help me out? Thank you SO much! Will choose B/A when I'm able =)

i need help with this math question? calculate the payment for a $10,000 car loan at 7% interest compounded annually for 5yrs

Debt Ratio calculations ? car or house option , i want both ? Why is debt ratio calculated on gross amount and not the net amount ? When bank factors in car payment, they are not factoring how much the insurance would be for car going toward det ratio ? should they ? this is a hidden expense with car payment that varies ? credit score 655, B rating. My pay is 2990 gross amount, i live by net amount. -Student loan 333 a mth. because of 30,000 dollars debt. -Rent $350 mth. -Utilities,heat $150 winters mth.. -Cable $30 mth -Groceries 200 mth. my honda accord lx ,car valued at 1700 blue book. worth nothing to banker she said. banker said i could have 15000 car w/ 300 mths paymets for 5yr and a 80000 house at 7% interest, w/ 5% cash back for closing costs ? How are they calculating this to be true ? TDS calculations explanation. Is she setting me up to be house poor in the end by saying go for this car and house on 2990 income to date?

Questions about regional airlines pay? i want to become a pilot for a regional airline after i go to flight school.the only problem is that i have calculated how much money i would get if i got the minimum of 70-75 hours.I would make around $1550-1650,and thats without taking out taxes.so i have been estimating that they take $200-300 out on taxes.then rent would cost you around $750-900 depending on where you live,then you have your car insurance,health insurance, your payment on the flight school loan,food,car payment,gas,and utilities.with what i have calculated making that much wouldn't cover all those expense. so here are my questions: 1.on average how many hours do you work a day? 2.how many days do you work in a month? 3.do they pay for your health insurance?or at least part of it? 4.what exactly does this mean? "Per Diem: Domestic: $1.50/hr International: $1.50/hr" i am a 17 years old who will be graduating this summer and hopefully going to either the Delta Connections Academy or Jet University. also could you give me some good websites to and state whether you are or were a pilot?thanks!

how to calculate monthly payment? If I was to buy a car for 10,995 have a down payment of 6000.00 but using my car that I am upside down on. KBB says I should get 2400 for trade which leaves 5400 that would transfer over to the new car. How would I figure out the loan amount if I did 48 months or 36 months with 11% interest? Thank you in advance

Car Dealership/ Finance company mix up with total balance due. Sending me back and forth between the 2. HELP? I purchased a car on 5/26/08. The total was $5995. Made a down payment of $100, and car note is $300 a month ($75 a week). I was paying $150 every two weeks and I recieved a call on 9/22 saying they sold my loan and Im now with MidAtlantic Finance Co. Mid Atlantic says my dealership says I owe $5049.01 which is IMPOSSIBLE since it wasnt even that much after my down payment. Also, My pay off amount is $4257, which, after calculating all the payments I made (which left me with a balance of approx. $3770), is still really high. I don't understand why its like this or whos screwing me over, the dealership or finance co. I have every receipt and my contract for proof of everything I paid. I dont get it though. My plan is to get a loan from my credit union and pay off MidAtlantic to get them off my back, but I dont want to pay the wrong amount which is what they are giving me, what should I do??? BTW: Im 18 with no credit and my dad cosigned for me. I dont want to mess up my credit trying to fight a battle I cant win. I can't find my copy of the contract. My dad misplaced it somewhere. I do, however, have every receipt ever given to me. Can I request a copy of the contract from my dealership?

What is the formula for calculating the monthly payment for an car Loan? The bank is financing my wife for 9606.00 at an interest rate of 7.5%. The Term is for 5 yrs (60 months) What should the monthly payments be?

i need a big auto loan. i have some questions. please help.? i am soon to be 22 years old. i got my first credit card at 18yrs old and immediately maxed it out ($6500 limit). i made a late payment about 6 months into paying off the amount, but all other payments were above minimum and on time. late last year i paid off the rest of it (about $4000) all at once. i cut up my card and havent used it since. i work part time (4-5hrs a day) at my moms law firm. i make around $500 every 2 weeks. i have no expenses (i dont pay rent, i dont pay auto insurance, i dont drink, etc..) my schedule is very flexible and i can work more hours anytime i wish. i want to take out a $30,000 auto loan over 60 months. i calculated that with an average interest rate of 7.45% that monthly payments would be $600 a month. this is absolutely fine for me because im a car enthusiast and dont mind paying that at all for the car i want (03+ bmw m3, doesnt depreciate much at all) is it possible to be approved? i can also have my mom or dad cosign. mom: lawyer, dad: cpa i wont be paying for insurance on the car. the car will be a used car. i work the hours that i do because it is comfortable for me(as i dont have any expenses), but i can easily work more if need be. both of my parents have very good credit. I WILL NOT BE PAYING FOR INSURANCE ON THE CAR. WITH EITHE RONE OF MY PARENTS AS MY COSIGNER SHOULDNT I BE ABLE TO GET A GOOD INTEREST RATE BECAUSE OF THEIR CREDIT?

DTI 35% calc before or after mortgage? Ok, so my hubby's DTI ratio is 35%. This is without a mortgage payment (darn car payment and student loans) (we are trying to get a house). Does our new mortgage payment need to be calculated with this number? Will a lender look at that and say the ratio is too high to qualify for a mortgage? can you please explain to me how they look at this? We're trying to get FHA in Pennsylvania.

Paying off debt? I calculated all of my debt today, with student loans, car and personal loans, I owe $ 53,000.00....I don't have any credit cards...I really want to pay this off as fast as possible...what can I do, to do that...I make all of my payments on time...but my credit score still sucks...how can I make the score get better ? I wish I could have 53000 and pay it all off in cash ...lol...I want to start off fresh... I am a single mom of a little girl, I work 40 hours a week, but am still living paycheck to paycheck...this is really stressing me out... does anyone have an idea how to solve my problem and make our life easier...I want to have a future and leave my little girl with something in life...:(

I got Ripped off? I bought a Civic LX 2006 for $15500, plus tax and plate, total $17600, i've paid $5000 as down payment, financed $12600 with 60 months to pay monthly. at first, it seems like a sweet deal, but when I got my loan payments, the payment is $325.40, when I calculate my payment on bankrate.com calculator, it doesn't seem right, I was offered 2 options, 1, interest rate 11% monthly and 2. 7% with complete auto insurance, meaning if the car is stolen, I'll be covered, which I never received anything about this. Now, even if I go with 11% interest, the most i should pay is $273.95 per month, with 7% i should've pay $249.60 per month, what should I do now? The sale receipt of the car is listed $15500 as sale price, do I have any chance to win this in the courtroom?

Pure Mathematics1 (Geometric Sequences)? Charles borrows $6000 for a new car.Compound intrest is charged on the loan at at a rate of 2% per month.Charles has to pay off the loan with 24 equal monthly payments.Calculate the value of each monthly payment.

Sucky situation. Help?? Im considering gettting a loan at the bank where I work. I was looking at purchasing the 2008 Toyota Yaris which is selling for $11,200. If i trade in my expedition I am assuming that i will at least get back $1,000. So in reality I would only owe $10,200 for the car. My boss helped me calculate that I would have a monthly payment of less than $230 a month and since I have good credit the interest rate will most likely be 5.25% It would be a 5 year loan. MY CONCERNS: Everything will be fine and dandy for the first 3 years. But I am looking ahead and I know that before graduating I have to do an intership seminar for my degree. No way will my job allow me to miss work for anything thats not work related. So what if I have to quite? I still have a loan left to pay! So what, I cant do the internship and graduate? That silly. But am I supposed to just stop paying the loan? Of course not! fixing my 1998 ford expedition seems to be the only option. But the transmission is bad! It is like $1,400 to fix and not to mention the shifted gears and one of my cylinders blew! Its a V8 and im driving on 7!!! I am spending $200 of gas every 2 weeks!!!!!! I should also mention that i dont have the money to fix it! Im a 23 yr old living on her own as well as paying for school!!!! Sucks to be me right now huh? =/ Hi Just Me: The thing with used cars is that my bank will only give 3 year loans for cars older than 2007. My monthly payments will be $363 per month and I cant afford that :( If not I would have gone for that deal. But thanks for answering my question. Hi hand in glove: The expedition is still running but Im afraid it wont last much longer! The gas is killing me!

does all debt affect applying for the british army?i have debt for buying a car and traveling Australia!? I have 11000 GBP debt for owing family money to get my drivers license, buying a car, traveling Australia, home improvement and paying for private tuition to meet entry requirements for a particular job within the british army. I began my application over a year ago and have continued studying to meet the criteria and I am worrying if this would be classed as bad debt. Although I calculated this loan from my bank very carefully, I worry that the army will view this as bad debt. I fear this as a friend applied and was rejected for owing 16500 GBP of bad debt (bad credit). Although I always make my payments and I know I can afford the monthly repayments over the 5 year period, will I be discriminated against for this financial choice?

Problem help? Please help solve this problem. I bought a new car, financed at a rate of 6.25% for 48 months, with a 15,500 loan. Calculate the monthly payment on the loan.

Interest problem? You buy a car for 25,500.00 w/ a down payment of $5000. Calculate the monthly payments for a four-year loan if the annual interest rate is 4.95% You don't have to solve it, but if you could supply me with the equation and what the variables mean for any interest problem, I'd greatly appreciate it.

what is your debt to credit ratio? I just did my credit report online, and my debt to credit ratio is 83%. I know what debt to income ratio is but when i googled it it told me that debt to credit is how much of your credit you have used up. Now i went back to my credit report and saw that my mortgage is 94%, my installment is 88% but my revolving is only 7%. On further look i saw that installment is just my car paymetn, and revolving is all my credit cards. I was under the impression that only credit cards were calculated in your debt to credit ratio. So when a lender looks at that am i being punished for my mortgage and my car payment? I mean 7% of my credit cards is pretty damn good. At least i thought it was. My debt to income ratio is only 36% and last i checked that was good too. I'm so confused when it comes to this stuff. I'm wanting a private student loan and now i'm worried i won't get it. I have never missed a payment ever, everything paid on time and in good standing.

Question about loans...? I want to take out a $1,000 loan to fix my car. I have good credit for a 19 year old with one credit card but compared to everyone out there it's on the lower side because of the short credit history and such. So the interest rate 20%. Minimum payment is $50 and it's a two year loan. I plan to pay $200 per month. If I pay $200 per month how will my loan decrease. I don't understand the whole interest thing. Cause if I'm at $1,000 and I get 20% interest and a $200 payment I'm in the same spot. So could someone explain what my balance would be each month. (For example month one 1,000 month two 800 month three 600 but with interest calculated in there.) Thanks! =) Ummm if you can't answer my QUESTION then don't answer at all... Is it that hard to read? You read my question and then post an answer that doesn't answer my question? Unless you are answering my question don't post an answer. Thanks.

Is having credit card debt okay as long as you can pay it off? I have about $5 grand of credit card debt now which can be brought down to 0, in less than a year, depending on how much I really want to pay it off. However, is carrying large amounts of debt (even if you CAN pay it off) bad? I don't see how. Isn't that the entire BUSINESS of credit cards anyways? To allow you to buy now and pay later? Don't they make money off of interest percentages? I don't see how this is bad for your total credit score, as long as you keep paying the monthly minimum or more. Also, lets say you DO have a $5G balance on one card, with an APR of lets say 13%. guess what? That means that every month you're ONLY going to accumulate $50 worth of interest. and compared to 5 grand, that's nothing. and if you keep making payments, and slash that in half, the interest will be lower, as it's calculated on the balance you have. SO, I don't see how credit cards are evil and how this system is god awful, if we pay interest on other loans as well, car/school. and you don't hear people complaining about those as being evil, they just accept it. :eye roll: I think credit cards are fine as long as you have the right card, and it doesn't have an extremely high interest rate.

What is the difference between accrual and simple interest calculation? It just so happens that my friend is buying a car in a used cars sales lot. He and his wife make their regular payments and always add something extra towards the principal. 6 months later when they asked if they had saved any money in interests the guys told them they had not saved any just yet because they had not paid the full debt off. The people from the lot told them that their loan is not a simple but accrual method of calculate the interest. What is that? Does it mean that they are to pay the full amount of money in interest? Can they not reduce the interest money by paying off before the date stipulated in the contract? They were told there are no penalties for early pay off. I guess that meanss regardless of whether or not you pay off early, you still pay the full amount of money in interests, right? I mean, there would be no point in paying your loan early by making payments to the principal since you are still paying all the interests added up to your loan divided by the number of payments agreed on, right? I am sorry I am such an ignorant

help me with 25 multiple choise questions? 26. If you have to borrow/charge expenses on your credit cards each month you’re considered to be what? (1 point) “Living with your means” “Living below your means” “Living above your means” “Living at your means” 27. What type of debt charges the highest interest rate? (1 point) automobile debt lease debt secured debt unsecured debt 28. Which is NOT one of the credit reporting agencies? (1 point) Experian TransUnion Equifax TransMeridian 29. A very low credit score usually means you will get what? (1 point) declined for loans low interest rates low finance charges high available balances 30. Credit that is applied for once, and then is available until the consumer defaults or closes the account is called what type of credit? (1 point) revolving credit charge credit income credit department credit 31. What is NOT considered when calculating a credit score? (1 point) personal income payment history credit history length of credit history 32. When two sellers trade items without exchanging currency it’s called what? (1 point) negotiating bartering financing economics 33. What was the earliest form of currency called? (Hint: China around 1200 B.C.) (1 point) leather cards sea shells cowry shells wooden coins 34. The first international form of currency policy to control inflation was called the what? (1 point) World Trade Organization North American Free Trade Agreement Gold Standard European Trade Standard 35. If a computer is on sale for $1,099.10 and there is an additional 15% off at the register, what will the total cost be? (1 point) $934.24 $1,263.96 $974.88 $988.45 36. The abbreviation FICO stands for what? (1 point) Fraud-Index Corporation Fair-Index Corporation Fair-Issac Corporation Fraud-Issac Corporation 37. When someone leases a car, who owns the title to the automobile? (1 point) the automobile manufacturer the financing bank the automobile dealership the driver 38. What part of a personal budget should be the largest expense? (1 point) spending money savings housing insurance 39. When a company hires an employee, what does the company expect from the employee? (1 point) expenses productivity purchasing power income 40. The amount of products or services that someone can buy with the amount of money they have is called what? (1 point) personal purchasing power purchasing power parity consumer price index value power 41. Banks make money by charging borrowers what? (1 point) late payment fees interest rates financing charges all of the above 42. The money you pay to keep an insurance policy in effect is called a what? (1 point) deductible co-pay premium expense 43. The money you borrow from a bank or any other lender is called what? (1 point) principal investment interest equity 44. Your credit score determines whether or not you what? (1 point) are approved or denied a loan are given a high or low interest rate are approved or denied a credit card all of the above 45. The loans that individuals take out to continue their education are called what? (1 point) educational loans student loans optional loans deferred loans 46. Which of the following is NOT considered a small ticket item? (1 point) a toaster an automobile a pack of gum a cup of coffee 47. When an asset such as a home or a car decreases in value over a long period of time it’s called what? (1 point) decay depreciation appreciation neglect 48. Charge cards differ from credit cards in what ways? (1 point) they require you to pay the full balance at the end of the billing period they don’t allow you to make cash advances they don’t accept balance transfers all of the above 49. The marketing offers provided by credit card companies are called membership __________? (1 point) bonuses benefits incentives gimmicks 50. If you have $2,000.00 on a credit card and the interest rate is 21.8% per year. How much interest will you pay for one year? (Interest is compounded monthly, but to simplify your activity, just multiply it.) (1 point) $463.00 $436.00 $521.00 $400.00