I recently bought a used car. I also recently downloaded a Loan Amortization schedule to help determine how larger payments would help me. This is where I seem to have a different amount from what the dealer has charged me.

They won't even help me figure things out and insist I am at fault in my math.

Here it is....Amount Financed is $14194.24. Interest is 14.65% over 72 months.

According to the Installment agreement the finance charge is $7350.32 with a total of payments equaling $21544.56.

Every calculator I have found states that $14194.24 at 14.65%/72months should equal a finance charge of $7221.87. Total of payments equaling $21416.11.

A difference of $128.45.

Am I calculating this wrong? Or is my Installment Agreement incorrect?

 

I doubt the agreement is incorrect simply because of the laws that exist to make sure these things are proper. I think the most likely cause of the discrepancy is a partial month of interest. The other possibility could be the details on how and when the interest is calculated (1st of month/when payment is made/ average daily balance/etc)

That said, I am SOOO freaked out by your 6 year loan @ 14.65%. $128 is truly the least of the problems here.

 

I understand the terms are far less than desirable, however, due to uncontrollable circumstances in my life, I was left with little choice.

I plan on paying off the loan in 3 years, saving close to 4k in interest.

 

Your numbers are correct again like A said, ask them what the starting date of the loan is and when interest is calculated.

http://www.bankrate.com/calculators/...alculator.aspx

If you can pay it off in 3 years, why not just take out a 3 year loan?

 

The lender should be able to provide you a complete amortization schedule.

 

maybe it's a get loan now for x amount of years and in a few months money will be freed up so it can be paid off in lesser time.

 

I have the extra money for the larger payments but don't want to dedicate myself to them in case something happens again.

I've been cracking down on our budget, savings, and Roth contributions. Trying to put myself in a better position all around.

Doopstr, I called and asked them for one and they said they couldn't give me one. Can you believe that????