Easy Financial Calculators » 15 Year Mortgage
A 15 year mortgage consists of 180 monthly payments and is paid off according to a set amortization schedule. Each monthly payment you make goes towards both interest and the principal balance.
The amortization schedule of a loan shows the specific amounts going towards interest as well as the amounts applied to the principal balance. Initially, a majority of each payment goes towards interest and as the loan matures, a larger portion goes towards paying down the principal balance of the loan.
The interest rate of your loan plays a critical component in determining your monthly payment, total interest, and the total amount paid.