Extra Payment Calculator


Exceltemplates.org – Loan and mortgage are helpful yet still a burden for your life. It helps you get expensive things but the interest make you could not buy the thing you want. When you have a long-term loan or mortgage, the burden become so much long that sometime you may think when it would last.

Excel Extra Payment Calculator
Extra Payment Calculator for Excel

In the other time, you may think about making the loan period shorter and cut off some interest from the total interest to be paid by paying more than the regular monthly payment. When you get a raise on your salary or you gain higher profit from the business you run, or maybe you won big on the table, such thought commonly appear.

It is very common to think about that and it is possible to do it. In loan terms, making additional payment is called extra payment. In regular condition, some banks and financial institutions allow you to make extra payment and give you nice save on the interest you should pay and maybe cut a little on your loan period. If you make it regularly such as monthly or annually, the extra payment may give you more saving.

However, not every extra payment could lead you to nice saving. If you only make little extra compared to the total loan, you may not get significant save. Thus, making a good calculation first is better before you decide to pay extra. This calculator is made to help you calculate it in an easy way.

This excel extra payment calculator is made into two worksheets. The first worksheet is extra payment calculator to calculate and compare your loan with and without extra payment. You only need to fill the data required that are loan amount, interest rate, repayment period, extra payment, and extra payment time. Then, two results will appear. The first in the left is loan details without extra payment and the second in the right is loan details with extra payment, including interest saved and payoff period.

Check this template >   Bill Payment Calendar

The second worksheet is extra payment amortization that will show you the loan profile in monthly basis if you make extra payment. In the table, you can see it more clearly about what will happen to your loan month after month. The table shows you how the extra payment goes toward the principal and affects the interest.

Using this calculator, you can play around with different numbers and see how your loan would be. Then, you can decide to make extra payment or not, how much extra payment should be made, and how often you should make extra payment.

However, you should know that this calculator only give you rough calculation on regular loan term. Since every bank and financial institution may have different regulation on extra payment such as additional calculation or penalties, the real result could be different. You need to check out your initial loan agreement to know about the possibility of extra payment. If your loan agreement allow extra payment without additional calculation, this calculator would be helpful for you to make plan with extra payment.

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