Newbie problem with amortization calculations

Hello,

I've just today installed Money 2006 Deluxe trial version; a full
version is on the way, which I am beginning to regret.

I've only gotten as far as downloading my checking account from my bank
and TRYING to establish an account for my mortgage. I have entered the
information five times now, but the mortgage amortization Money
calculates simply will NOT match my bank's. It starts off being off by
a few pennies at best, and escalates by the end of the amortization to
being off by anywhere from a few dollars to fifty or more. Money also
will not allow me to make the mortgage come out to 360 payments. I can
make it 359 payments... or 358 payments... but not 360.

Is this just the way it is? Am I doing something wrong? Can anyone
please help?

TIA,
Cindy

Dick
Sat Dec 31 23:03:47 CST 2005

Let Money calculate an effective interest rate. Use the number of payments,
principal and PI payment from the loan itself. See if that gets you closer.
It likely will not match to the penny since there are lots of variables that
the bank knows and there's no place to tell Money. One example: a long first
payment cycle.

"ankalime" <ankalime@yahoo.com> wrote in message
news:1136072047.682813.116660@g47g2000cwa.googlegroups.com...
> I've just today installed Money 2006 Deluxe trial version; a full
> version is on the way, which I am beginning to regret.
>
> I've only gotten as far as downloading my checking account from my bank
> and TRYING to establish an account for my mortgage. I have entered the
> information five times now, but the mortgage amortization Money
> calculates simply will NOT match my bank's. It starts off being off by
> a few pennies at best, and escalates by the end of the amortization to
> being off by anywhere from a few dollars to fifty or more. Money also
> will not allow me to make the mortgage come out to 360 payments. I can
> make it 359 payments... or 358 payments... but not 360.
>
> Is this just the way it is? Am I doing something wrong? Can anyone
> please help?

ankalime
Sun Jan 01 07:22:50 CST 2006


Dick Watson wrote:
> Let Money calculate an effective interest rate. Use the number of payments,
> principal and PI payment from the loan itself. See if that gets you closer.
> It likely will not match to the penny since there are lots of variables that
> the bank knows and there's no place to tell Money. One example: a long first
> payment cycle.

Dick, thank you so much! Your method got it to within a few pennies. I
can live with that! :)

Happy 2006!

Cindy

Dick
Sun Jan 01 08:13:41 CST 2006

Good to hear you have solved your issue. Thanks for the feedback. Check back
with any new issues in the future! And a happy 2006 to you as well.

"ankalime" <ankalime@yahoo.com> wrote in message
news:1136121769.976289.24530@o13g2000cwo.googlegroups.com...
> Dick, thank you so much! Your method got it to within a few pennies. I
> can live with that! :)

Chris
Sun Jan 01 12:14:05 CST 2006

"ankalime" <ankalime@yahoo.com> wrote in message
news:1136121769.976289.24530@o13g2000cwo.googlegroups.com...
>
> Dick, thank you so much! Your method got it to within a few pennies. I can
> live with that! :)

I manually adjust the allocation of the last payment of the year so the
principal balance and interest match the bank's statement exactly. The
adjustment usually is very small.
--
Chris Cowles
Gainesville, FL