A student loan for $10,000
Monthly payment $101.25
To be paid over 10 years or 120 months
Interest rate ??
Thanks for help.
Use this fine online financial calculator: https://arachnoid.com/finance/
Enter $10,000 under "pv"
Enter monthly payment of -$101.25 under "pmt". Note that the "pmt" is entered as -$101.25 because it is money "paid out"
Enter 120 months under "np"
Press "ir"
You should get an answer of 0.333419, which the monthly interest rate.
Multiply it by 12 =0.333419 x 12 =4.001028 =~4% compounded monthly.
