Loans & Mortgages
Total interest
Everything repaid above the amount borrowed.
The Formula
Interest = Payment x n - Loan
Everything repaid above the amount borrowed.
| Symbol | Meaning | Unit | Notes |
|---|---|---|---|
| M | Payment | currency | Monthly instalment. |
| n | Payments | count | Number of instalments. |
What Each Symbol Means
Mcurrency
Payment
Monthly instalment.
ncount
Payments
Number of instalments.
See It Worked With Real Numbers
A formula on its own does not tell you which number goes where. The how to calculate a personal loan payment page applies this equation to a concrete case, shows every intermediate step, and names the mistakes that produce a wrong answer even when the algebra is right.
Where This Formula Appears
This equation is the working core of How To Calculate A Personal Loan Payment, filed under Finance. Every number the guide produces comes from substituting into this one line.