The fixed payment of a loan or mortgage with the same rate for the whole term.
Cuota = P × i ÷ (1 − (1 + i)^−n)
What each letter means
- P: Loan amount
- i: Rate per period (annual ÷ 12)
- n: Number of payments
An example
With P = €180,000, i = 0.25%, n = 300: Payment = €853.58.