How to count the annual interest on loans

Nowadays, high needs and large queries will not be easy to keep in order not to become «owner » bank loan. This makes it possible to instantly purchase an expensive thing, make repairs, go rest, rather than digging it, tormented by waiting.

Annual interest rate is how much the bank for the money provided to you will take you. To calculate this value, it is necessary to write down the amount you take from the bank, the amount that you believe to return with interest, and the term on which money is engaged.

The annual rate is not computed. For example, take the amount of 100,000 rubles - this is money engaged in the bank. It is necessary to return 150,000 after 3 years. Of the longer amounts are deducted smaller: 150 000 - 100,000 \u003d 50,000 - it turns out, overpayment on the loan for all time. Then this figure is divided for the loan period: 50 000/3 \u003d 16 666.7 is the annual overpayment amount. To translate this amount percentage, simply multiply by 100%. 16.7% came out - «effective » Annual rate.

This calculation scheme is suitable for the annuity of payments, where the entire amount of debt is divided into equal monthly payments, and percentages are paid primarily. With differentiated payments, the percentage is charged to the balance of debt. Thus, he is with each month, considering payments, becomes less.

In this case, it is necessary to fold all the amounts of monthly payments prescribed in the chart, and multiply by a percentage of the loan, according to the contract. The resulting number is divided by the number of years to which money was taken, and multiply by 100%. Fine the figure and will «effective » The percentage of the debt commitment you took.

With an annuity scheme, it is advantageous to extinguish the loan by increased sums, if this allows the terms of the contract. Thus, you reduce the amount of overpayment and save your finances.

Considering the annual percentage, do not forget to take into account the Bank's commission, if it was accrued, maintaining a plastic card if you ordered it, insurance of life and health.

The most important thing in the event that you still decided to take a loan in the bank - carefully read the contract before signing. Pay special attention to paragraphs written in small font. And do not forget about the accrual of penalties in case of delay.