The way to find the answer with a financial calculator is as follows:
1. Calculate the payment for the loan. Be sure to put 12 payments per year. (The payment for this example is $304.22)
2. With those numbers in your financial calculator, enter the number of payments after which you want to find the payoff. (In the question above the number was 14 payments)
3. The final step is to just press the FV or future value button. (Your answer for the question above is $6,322.91)
If you have a financial calculator, try it.
If you would like to see a web page that has a calculator that performs this calculation, please leave a comment.
