Home Equity line of credit calculation
Hi great minds of BP. Curious to know if someone has a good way to calculate the monthly payment on HELOC. For example, if I have 300k credit line at 3% interest for 10 years. I can derive that my interest only payment would total to $750/month (300,000 x .03)/12
What would be the simplest way to calculate monthly payment that combines interest and principal and pay it all off in 10 years ?
Am I right to assume that the principal only payment would be $2500/month (300,000 / 120) so principal & interest per month would total $3250 (750 + 2500) ?