How Do You Calculate Total Principal Paid On A Car Loan?
If you want to know how much principal you’ve paid on your car, it’s easiest and most accurate to contact the financing company and ask for a payoff amount. However, keeping track of it yourself by setting up an amortization table is a good idea. You can see where your money is going each month, see how much you’re really paying for your car and quickly determine the payoff amount. Determine the total amount that your financed with the loan. Add the purchase price, title transfer fees, taxes, registration and other fees. Subtract the down payment and trade in values. Create an amortization table to determine the interest and principal paid for each month to the current month. It’s easiest to do this in Excel or other spreadsheet software, but can also be done manually with a calculator. Label the table with the following column headings: “payment date,” “payment amount,” “interest paid,” “principal paid” and “balance.” Start with the first payment date, and populate each row until you
