08-07-2016, 07:52 PM
Sometimes when a long term mortgage is refinanced, the original length of term is reset. We will assume payments are made monthly.
Input:
Store the following amounts in the registers:
Clear the TVM variables by pressing [ f ] [x<>y] (CLEAR FIN)
Original number of payments, [ n ]
Annual rate, [ 12÷ ] [ I ]
Loan Amount, [ PV ]
Number of payments that have been made prior to refinance, [STO] [ 0 ] (R0)
New annual rate, [ENTER], 12, [ ÷ ], [STO] [ 1 ] (R1)
Run the program by pressing [R/S]. The original payment is calculated. Press [R/S] again to get the balance. Enter any additional monies (can be $0.00) received due to the refinance. Finally, press [R/S] again, and the new payment is calculated.
Program:
Example:
A couple purchased a house for $185,000. The mortgage lasts for 30 years (360 months) with a 4.8% interest rate (0.4% periodic rate). 180 payments have passed, and the couple is able to refinance the mortgage (but pay that amount in 30 years) at a rate of 3.84%. $15,000 is also cashed out.
Input:
360 [ n ]
0.4 [ i ]
185000 [PV]
180 [STO] [ 0 ]
0.32 [STO] [ 1 ]
Results:
[R/S] -970.63 (The original payment is $970.63)
[R/S] -124,373.78 (Balance of $124,373.78)
Enter 15000, press [R/S] -652.60 (New payment is $652.60)
Input:
Store the following amounts in the registers:
Clear the TVM variables by pressing [ f ] [x<>y] (CLEAR FIN)
Original number of payments, [ n ]
Annual rate, [ 12÷ ] [ I ]
Loan Amount, [ PV ]
Number of payments that have been made prior to refinance, [STO] [ 0 ] (R0)
New annual rate, [ENTER], 12, [ ÷ ], [STO] [ 1 ] (R1)
Run the program by pressing [R/S]. The original payment is calculated. Press [R/S] again to get the balance. Enter any additional monies (can be $0.00) received due to the refinance. Finally, press [R/S] again, and the new payment is calculated.
Program:
Code:
STEP CODE KEY
01 45, 11 RCL n
02 44, 2 STO 2
03 14 PMT
04 14 PMT \\ calculate payment
05 31 R/S
06 45, 0 RCL 0
07 11 n
08 15 FV
09 31 R/S \\ calculate balance, ask for amount of withdrawn
10 30 -
11 16 CHS
12 13 PV
13 0 0
14 15 FV
15 45, 1 RCL 1
16 12 i
17 45, 2 RCL 2
18 11 n
19 14 PMT
20 43, 33, 00 GTO 00
Example:
A couple purchased a house for $185,000. The mortgage lasts for 30 years (360 months) with a 4.8% interest rate (0.4% periodic rate). 180 payments have passed, and the couple is able to refinance the mortgage (but pay that amount in 30 years) at a rate of 3.84%. $15,000 is also cashed out.
Input:
360 [ n ]
0.4 [ i ]
185000 [PV]
180 [STO] [ 0 ]
0.32 [STO] [ 1 ]
Results:
[R/S] -970.63 (The original payment is $970.63)
[R/S] -124,373.78 (Balance of $124,373.78)
Enter 15000, press [R/S] -652.60 (New payment is $652.60)