Updated over 10 years ago on . Most recent reply
Short term loan question
I have a potential agreement with my family in the works for a 2 year interest only payment loan with a balloon payment after refinancing..
My question is the way to calculate this? These are not real numbers just example to see if this is proper way to amortize an interest only loan.. Say the loan is for 100,000 @ 5%.. Is the monthly payment amount 5,000$ divided by 12 Correct for a payment of 416$??