A new payment calculator has recently been launched and current or recently-graduated law students should use it to understand their student loan debt.
Payment calculator at paymentbot.org can be considered as a very easy measure through which the payments for a loan or account balance after deposit term can be calculated. If you are providing the capital and the rate of interest, then the calculator calculates the total amount after a particular amount of time.
The calculation method at paymentbot.org varies for simple interest as well as compound interest. In a simple interest the final value is calculated for a particular time period and if the rate varies, the interest is calculated for the same capital amount. For compound interest, the interest is added to the capital and for the next term, this accumulated amount is considered to calculate the interest.
The paymentBot calculator at paymentbot.org takes the following values as inputs. The capital, interest rate in decimal format, number of instances compounding is done in a year and the time given in years. The first step in calculation is dividing the interest rate by the number of terms or the number of times the interest is compounded that is if the interests is compounded quarterly then divide the interest rate by four.
Next thing is to add the quotient by 1. The result of the addition is then raised to the number of times the interest is compounded throughout the term of the loan. The number of compounds is calculated by multiplying the number of years and the compounds in a year. The result of the exponential calculation is then multiplied by the capital amount. The product of the multiplication is the final value which is the interest to be paid.
This is a very simple way of calculation, as a user you only need to give the input and get the final value. You can make the payments periodically after getting the final amount that you need to pay at the completion of the term through the payment calculator at paymentbot.org.