Method of Use: Turn to the page for the number of months the loan is to run. Find the amount of the loan in the column headed "Balance Financed". The next column shows the total amount of the note, or the amount to be repaid including the finance charge. The next column shows the monthly payment which will pay off the loan. In cases where the amount of the note is not exactly divisible by the number of months, the payment has been increased to the next higher cent, and the final payment should be reduced slightly so that the total of payments will exactly equal the amount of the note. Example: a loan for $480 for 10 months. On the page for 10 months beside $489 in the "Balance Financed" column the amount of the note is shown to be $501.38 and the monthly payment $50.14. Since 10 payments of $50.14 would total $501.40 the final payment should be reduced by .02 so that the total of payments will be exactly $501.38. Chart No. 3A-801 |