Calculating Loan Payoff?

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Cloy - 30 Oct 2007 13:33 GMT

I'm trying to calculate the payoff date for a loan. I'm using the NPER
function, but the result is puzzling.

For a $5,000 loan at 7% interest and a $250/month payment, I'm putting
in the following:

=NPER(0.07,250,5000,0)

... the result is -12.93949491

How do I fix this?

TIA! -C

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Niek Otten - 30 Oct 2007 13:56 GMT

=NPER(0.07/12,-250,5000)

Gives you 21.32813 months
Always make sure that the rate corresponds to the payment frequency and that the sign of the loan and of the payments differ

Signature

Kind regards,

Niek Otten
Microsoft MVP - Excel

| X-No-Archive: Yes
| I'm trying to calculate the payoff date for a loan. I'm using the NPER
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| TIA! -C

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