Financial math

[dreamwest]

Im trying to get a monthly repayment for a loan but a $250,000 loan gives repayments of $136,250 per month

 

function _clean_number($input){
return (float) preg_replace('/[^0-9.]/', '', $input);
}

$id = 7.3; //interest rate
$amount = 250000; // amount of loan
$time = 30; //time in years

$month_term  = $time * 12;
$month_rate = $id / 12;
$power = -($month_term);
$denom = pow((1 + $month_rate), $power);
$amount = _clean_number($amount);

echo number_format($amount * ($month_rate / (1 - $denom)));

 

[fortnox007]

i have no solution yet, but for that money you may call me employee

[dreamwest]

Found the prob, i still needed to divide the int rate to a monthly amount:

function _clean_number($input){
return (float) preg_replace('/[^0-9.]/', '', $input);
}

$id = 7.3; //interest rate
$amount = 250000; // amount of loan
$time = 30; //time in years

$month_term  = $time * 12;
$month_rate = ($id / 100) / 12;
$power = -($month_term);
$denom = pow((1 + $month_rate), $power);
$amount = _clean_number($amount);

echo number_format($amount * ($month_rate / (1 - $denom)));