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Simple Interest Amortization

Posted on: 26th May, 2009 05:35 pm
Hi Guys :)

Im looking for a formula to calculate simple interest amortization. From what I understand simple interest is calculated daily, and all I really need to do is figure out how to calculate the loan payment (principle and interest together) using simple/daily interest. From there I think I can use a standard iteration to figure out the schedule. Im trying to write a program within my database to calculate this number.

Anyone have the power to provide me a miracle? I've looked everywhere.

Mo
I found a simple interest calculator on the following site which may help you find the way to calculate the loan payment (principle and interest together) using simple interest:
"www.bllaw.co.uk/Files/calc.html"

It's a UK site. So the actual amount would be different when converted into dollars. But over all, there shouldn't be much of a difference in the method of calculation.
Posted on: 27th May, 2009 03:26 am
specify your country so that anyone can resolve your problem
Posted on: 27th May, 2009 06:41 am
Im aware of the calculators located all over the internet. Im just looking for the mathematical formula so I can implement it in my software. I am in the United States.

BTW. Is it true that standard amortization and simple interest amortization will calculate a monthly payment that is equal to each other? From my understanding they calculate interest in different ways, but the monthly payment should be the same. Is that true?
Posted on: 27th May, 2009 01:35 pm
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