In this Episode we break down the importance of planning your loan cashflows and the advantages of Early repayment of whole or part of the loan.
“loan repayment schedule. Every lender will provide a detailed document outlining exactly when payments are due, usually on a monthly basis. In the document, three components will dictate your loan management strategy which are very important to understand: the principal loan amount outstanding at any point in time, the interest charged at each interval, and whether these interest charges are determined by a reducing balance method or a fixed rate.”
The Loan Repayment Schedule before any Early repayment.
Loan Repayment Schedule after an early repayment.
Understanding Loan Repayment Schedules.