Loans - Car - Personal - Commercial

These loans are usually quite straightforward. Create a new Record with "File" and "New Record". See also Creating the first Record and Data entry screen Basics.

Data window

In the example below, the loan starts on October 1 and the first payment is a month later. Compounding is monthly, Payment method, normal. The 25,000 loan is paid back in 4 years (48 payments).

Annual Percentage Rate (APR) window

Compulsory fees should be included in the APR window. These may be stated as an amount or as points (percentage of the loan amount).

Advanced window

The various Advanced features (day count, short periods) will depend on the jurisdiction. Method should usually be Normal - Actuarial Equal Periods (compound interest).

Results table

MLM automatically calculates the payment and produces the payment schedule.

In this loan, the borrower does not respect his/her payment schedule. The five lines in blue are incidents including:

• January 1, 2007 payment is paid only on the 20th of the month
• February 1 payment is only 300.00
• March payment is 0.00
• Extra fee of 25.00 for the unpaid payment on March 1, 2006. Please note that interest will accumulate on the 25.00 fee but this fee will only very slightly affect the APR (to compute the true effect on APR Line status & Line comment)
• 1000.00 payment on May 5, 2007.

Other special repayment options may also be included : lump sum payments, unpaid payments, interest-only payments, fixed principal payments, step payments, additional principal, etc.

See also:

Add-on Interest Loan

Lease