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I'm Wondering how about do you solve this question. I'm using a software Called TValue 5 to double check my work.
Principal = $100,000.00
Interest = 3% annual, Compounded Monthly
Payment Frequency is Monthly
And the Duration is 36 Months
Months that will be skipped are September, October, November and Decemer The Loan Starts in February, But that doesn't Information isn't necessary. Calculate Monthly Payment Amount


When I hit the Calculate Button, The Monthly Payment Amount is 4351.27 If anyone would Like to Double Check. I've tried a previous Method suggested to me but it was off by $200. If Someone could help to get closer that would be great

marked as duplicate by mhoran_psprep, JoeTaxpayer, Victor, Dilip Sarwate, Dheer Feb 27 '14 at 4:22

This question has been asked before and already has an answer. If those answers do not fully address your question, please ask a new question.


The only quick way to solve such a problem is to use a spreadsheet with a line for each month of the loan repayment. You start by picking some arbitrary standard payment, say $100.00, and by finding the monthly interest rate.

Given the specific conditions in the problem, the balance at the start of February is $100,000. The balance at the end of each month is the previous month's balance, increased by the monthly interest rate, and then decreased by the payment for that month, if any.

That's the complication; you need to go through the 36 months, entering for each either the standard monthly payment, or $0.00

At this point, the balance at the end of the 36th month is probably not zero. You can use the S/S "What if" feature to find the standard payment that brings the balance at the end of the 36th month to zero.

FWIW, Excel says that a payment of $4345.89 would do it...

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