Interest Only Payment Calculator is an online personal finance assessment tool which allows borrower and lender to know how much monthly interest payment has to pay against the principal amount. The loan amount, annual interest rate and maturity period are the key components to calculate the future monthly payment you should pay until the the maturity peiod expires.
In traditional loan requires the borrower to make payment of part of the Principal as borrowed and the Interest on that money for each month. The principal you owe on your loan decreases over the term of the loan. Interest only loans are quite popular and completely different from traditional loans. An Interest only loan is a type of loan for which the borrower pays only the interest on the capital for a specified time period, there is no amount that goes to pay off the principal. The Principal remains same over the entire period of time. At the end of the loan term, the borrower has the options of renewing the interest-only loan, repaying the capital, or converting the loan in to a regular principal and interest payment loan according to terms between borrower and Money lending services. However you need to do basic calculations before you opt for any loan to prevent unnecessary payments towards the loan. By using this interest only payment calculator you can determine best interest rate provider from the finance market.