Monthly loan payment on a $24,000 loan for 60 months with a 4.71% interest rate

Given:
Loan Amount: $24,000
Loan Terms: 60 months = n
Interest Rate: 4.71% =
4.71/100
= 0.0471 = r  (convert percent to a decimal)
Monthly Loan Payment Formula:
Monthly Loan Payment =  
Loan Amount  * 
r / 12
/ 1 – ( 1+
r/12
 ) -n

Substitute given values into Monthly Payment Formula:
Monthly Loan Payment =  
24,000  * 
0.0471 / 12
/ 1 – ( 1+
0.0471/12
 ) -60

Monthly Loan Payment =  $449.73  ( rounded to two decimal places)
Notes:
Total Cost =  Monthly Loan Payment * Number of Payments
Total Cost =  $449.73 * 60 =  $26,983.80
Interest Cost =  Total Cost – Loan Amount
Interest Cost =  $26,983.80 – $24,000 =  $2,983.80

The solution above and other related solutions were provided by the Monthly Loan Payment Application. 

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