Calculating Amortization

Calculator for loan amortization and amortization schedule

The formula for amortization is shown in the following image:

Amortization Formula

In this formula, A is the amortization amount that will be paid per period, P is the principal or loan amount, r is the interest rate per period, and n is the total number of periods.

This page demonstrates the use of the Python amortization library to solve calculate the amortization amount and generate amortization schedules.

For in-depth tutorial and discussions on how to use the Python library, read the blog Calculating Amortization with Python.