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how to calculate the average life of a loan. Redirected from Weighted-Average Life In finance the weighted-average life WAL of an amortizing loan or amortizing bond also called average life is the weighted average of the times of the principal repayments. This calculator also could help you determine how much house you can afford.
The weights in the WAL calculation are the amounts of principal that will be returned in any. We need to make an assumption about the prepayment rate and estimate the WAL which will be the simulated average life. Compare Investments and Savings.
This loan calculator will help you determine the monthly payments on a loan.
How to Calculate the Weighted Average Life for Bonds Bonds Repaying Principal. You expect to repay it over 5 years. A weighted average interest rate is used when consolidating federal student loans with a Direct Consolidation Loan. How to Use Our Loan Interest Calculator Say that youre going to borrow 20000 at 5.