Loan Amortization Schedule

A amortization schedule is a table or chart showing each payment on an amortizing loan, including how much of each payment is interest and the amount going towards the principal balance. Thankfully, there are many freely available websites and calculators that create amortization schedules automatically. The downside to this is people are less informed on the mathematical calculations involved in creating the schedule. We provide the step-by-step calculations below for a simple fixed-rate mortgage.