How is the Monthly Payment Calculated?

The payment calculation is dependent on the values entered in the Term (months) and Payment Factor fields.

Term Method	Payment Factor Method

The term method is the Remaining Balance divided by the number of months. The result is equal payments spread over the term of the loan.

Balance	Term (Months)	Payment Factor	Calculation	Payment (recommended label)
$ 8667	60	(blank)	$ 8667/60	$ 144.45 / mo. 60 equal payments

The payment factor method is a percentage of the remaining balance. This method is commonly used for minimum monthly payments.

Balance	Term (Months)	Payment Factor	Calculation	Payment (recommended label)
$ 8667	(blank)	1.49%	$8667*1.49%	$ 129.14 / mo. (Minimum monthly)

Helpful Tips:

The Program name does not appear on the customer quote. Include all pertinent information in the Payment Label. (APR, loan name, and term)
The APR is not used in the monthly payment calculation. In some cases, the finance company will provide a payment factor that considers the loan amortization.
If Payment Factor is not entered, 1/Term will be used as the payment factor.
If Payment Factor AND the Term are entered the Payment Factor will be used for the monthly calculation.
For a one-time payment use 1-month term.