Amortization Schedule Calculator: Equal Principal Payments

Equal Principal Payments Amortization Calculator | TheCalculatorSoup.com

Equal Principal Payments Amortization Calculator

Equal Principal Payments Schedule

Loan Amount ($)

Annual Interest Rate (%)

Loan Term (Years)

Payments Per Year

What is Equal Principal Amortization?

In an Equal Principal Payment schedule, the **principal portion** of each payment remains constant, while the interest portion decreases over time. This results in decreasing total payments throughout the loan term.

This method is common in some mortgages and personal loans, especially in certain countries.

Example

Loan: $250,000 at 5.25% for 15 years

Fixed Principal: $1,388.89 per month

First Payment: ≈ $2,484.38

Last Payment: ≈ $1,395.31

Total Interest: ≈ $57,187.50

Equal Principal vs Equal Payment

Feature	Equal Principal	Equal Payment
Principal Portion	Constant	Increases
Total Payment	Decreases	Constant
Early Payments	Higher	Lower

Real-Life Applications

Commercial and business loans
Some mortgage products
Personal loans with fixed principal repayment
Comparing loan options