An amortization table is a table where the payment schedule that a company or individual must face to which a loan is granted appears. It will show the different payments that the borrower will bear during the duration of the loan.
The term of the loan repayment table includes the status of the return of the money during the duration of the loan, knowing its evolution. It is made up of different columns made up of the following data:
- 1st column: the period. The different terms with which the payment will have to be made.
- 2nd column: the loan interest. The interests that the borrower must assume at all times are collected. The interest can be fixed or variable.
- 3rd column: amortization of capital. The amortization refers to the repayment of the loan without taking into account the interest. This is what is discounted from each period of the pending capital.
- 4th column: fee to be paid. Includes the sum of the interests and amortization.
- 5th column: principal of the loan pending amortization. To obtain this figure, the outstanding capital of the previous cycle and the amortization of the current period must be subtracted in each period.
How to get the amortization table
The amortization table of a loan is obtained in a simple way thanks to the loan simulator present on the bank client portal of the Bank of Spain or on the websites of the different financial institutions. To achieve this information you must fill in the following information in the calculator:
- The quantity requested.
- El interest rate.
- The return period.
- The grace period.
With all this information you will get the amortization table and the evolution of the loan. In this way, a product adjusted to the client's needs can be contracted, knowing at all times if it will have the capacity to face the repayment of the loan or if it is too high for the pocket.