| principal and interest. countrywide home loan payment is chiefly used in loan repayments (a common example being a mortgage) and sinking funds. The payments are usually of equal amounts. In the case of a loan, a greater amount of the payment is applied to interest at the beginning, while during the latter portion, more money is applied to principal. The formula for countrywide home loan payment amortization is: (1-v^n)/i, where n = # of years, v = 1/(1+i), and i = interest rate / 100. Divide by (1+i) if at beginning due. Another method of writing this kind of formula is: "The Caps" - In countrywide home loan payment slang, there you could ask for the Caps of a loan, and if your broker or loan officer is intelligent enough to read the rate sheets they are quoting from, it is ALWAYS displayed and available. This is basic |  |
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