Spread.NET 17 Formula Reference
Formula Functions / Functions M to Q / PMT
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    This function returns the payment amount for a loan given the present value, specified interest rate, and number of terms.




    This function has these arguments:

    Argument Description
    rate Value of interest rate per period
    nper Total number of payment periods
    pval Present value, worth now
    fval [Optional] Future value, cash value after the last payment; if omitted, the calculation uses zero
    type [Optional] Indicates when payments are due; at the end (0) or beginning (1) of the period; if omitted, the calculation uses the end (0)


    Be sure that the interest rate and the number of payment periods correspond to the same units. If payment periods are monthly, then the interest rate should be calculated per month. If the interest rate is 6 percent annually, you can use 6% or (6/100) or 0.06 for the rate argument if the payment period is a year, but for monthly pay periods, divide the 6% by 12. The payment returned includes principal and interest but, no taxes, reserve payments, or fees.

    The result is represented by a negative number because it is money paid out by you.

    See the PV function for the equation for calculating financial values.

    Data Types

    Accepts numeric data for all arguments. Returns numeric data.




    PMT(6%/12, 15, 5000) gives the result -$346.82

    PMT(0.005, 15, 5000, 0, 1) gives the result -$345.10

    Version Available

    This function is available in product version 1.0 or later.

    See Also

    IPMT | PPMT | PV | Financial Functions