Standard Fixed-Rate Loan - Calculated Industries 3442 User Manual

Equity Builder Pick-A-Payment Loan (Zero-Month/30-
Term) vs. Standard Fixed-Rate Loan
Loan Amount
Interest/Start Payment 7.5%
Term
ROI%
Pmt Cap %
Using most of the same values from the previous example, compare
the fixed-rate loan to an Equity Builder P-A-P loan. The start pay-
ment for the regular P-A-P loan is $1,500, and the resulting initial EB
P-A-P payment is $750. Also, in this problem, find the interest-only
payment, and the 30- and 15-year loan payments (based on the EB P-
A-P Note%), as well as the EB P-A-P deferred interest (resulting
from negative amortization).
STEPS
1. Enter Fixed-Rate Loan Values:
Clear Calculator
Enter loan amount
Enter interest rate
Enter term
2. Solve for Fixed-Rate Loan Payment and Total Cost:
Find monthly P&I payment p
Amortize the loan
Find total interest
Find total principal
Find total principal/interest
3. Enter EB P-A-P Loan Values:
Enter Start Rate term
(in months)
Enter P-A-P term
(in years)
Enter Start Payment
Calculate Start interest %
Enter P-A-P actual rate
(Note%)
Enter ROI%
Enter Payment Cap%
68 — M
ORTGAGE
FIXED-RATE LOAN EB P-A-P LOAN
300,000
30
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KEYSTROKES
o o
3 0 0 ) l
7 • 5 ˆ
3 0 T
a
a
a
a
0 ß
3 0 s ß
1 5 0 0 S
S
7 • 5 s S
7 s %
5 s 6
Q P
UALIFIER LUS
300,000
$1,500 (Start Payment)
7.50% (Note%)
0 (Start No. of Mo.'s)
30 years
7%
5%
®
X2
P
DISPLAY
0.00
300,000.00
7.50
30.00
2,097.64
1-360
455,151.67
300,000.00
755,151.67*
0.00
30.00
1,500.00
4.39
7.50
7.00
5.00
(Cont'd)