Amortization is the process of paying off a loan or mortgage over a long period of time by regular payments. Or simply, it is a loan with scheduled periodic payments of both principal and interest. The total amount paid in each installment consists of both the principal amount and the interest balance. It is this process of repaying the debt with interest to the lender, which is described as an amortization schedule. The amortization schedule calculates and suggests what percentage of the total amount is to be considered as the principal amount, and how much interest has to be paid in each installment.
The distribution between principal and interest varies over time so the amortization schedule specifically illustrates the changes for every installment. To begin with, a large portion of each payment is dedicated to pay back the interest. As the loan begins to mature, larger portions go towards paying down the principal.
Here is our loan amortization report template, also referred to as a loan calculator or an amortization schedule calculator. It can help you prepare a complete schedule of your monthly loan payments, and also determine how much of the total amount will have to go towards the principal and how much will be directed towards the interest. It is a very easy to use template and anyone can use it to help them in their long term loan payments without any trouble or complication.
Simply input your loan amount, interest rate, loan term and repayment start date and you are ready to use our template. It can greatly boost your productivity level, and help you in keeping a track of your mortgage payments at the same time. You can even download multiple copies of our loan amortization report template, for multiple personal or business loans.
Below is the preview to this Free Loan Amortization Schedule Report Template.