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I have a loan and the interest rate on the loan doubles.
I wish to keep the same amortization period, but should I  double the payment?

If you answer could you please provide an example so I could further understand your reasoning!

 May 25, 2021
 #1
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No you don't have to DOUBLE your payments....but there will be an increased payment amount

 

simple example

borrow 100 @ 10 % per year    with one payment at the end of the year   amount owed would be  110

  now double the interest to 20 %   amount owed at end of year = 120     not double the 110 amount .....

 May 25, 2021

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