this is the break out formula for our mortage,i am appalling at maths,please help...
(amount*(r-r1)*time)divided by 36500
amount=271,000
r=cost of funds for the lender for the fixed rate period as incorporated in the exisiting rate applying to the loan(the fixed rate is 5.190%)
r1=means the interest rate available to the lender for funds placed in the money market on the date of early repayment or conversion for the remainder of the relevant rate period.
''time''=means the no of days from the early reapayment or conversion to the end of the relevant fixed rate period
ok so 271,000 mortage remaining
fixed until 31/05/2012,fixed since 01/02/08
5.190%
656.41 repayment fortnightly.
can anyone help me figure out how much the penalty will be ??????
thanks
(amount*(r-r1)*time)divided by 36500
amount=271,000
r=cost of funds for the lender for the fixed rate period as incorporated in the exisiting rate applying to the loan(the fixed rate is 5.190%)
r1=means the interest rate available to the lender for funds placed in the money market on the date of early repayment or conversion for the remainder of the relevant rate period.
''time''=means the no of days from the early reapayment or conversion to the end of the relevant fixed rate period
ok so 271,000 mortage remaining
fixed until 31/05/2012,fixed since 01/02/08
5.190%
656.41 repayment fortnightly.
can anyone help me figure out how much the penalty will be ??????
thanks