Annuity Loan – Installment
Calculates the initial monthly installment of an annuity loan from the nominal rate and the initial repayment rate.
Enter your own numbers and press "Calculate" – or load an example on the right; "Type in" replays it on the device.
A higher repayment rate raises the installment but shortens the term enormously. At only 1–2 % initial repayment the payoff drags on for decades – those who can, repay faster.
→ Story & full explanation: Monthly installment for buying a house
R = D·(p+t)/(100·m) is the initial annuity from the nominal rate p plus initial repayment t. The installment stays constant, but its inner makeup shifts: with each payment the interest portion falls and the repayment portion rises – which is why repayment accelerates over time.
Classic annuity formula from the interest rate plus repayment rate.