Many people have had the experience of being asked for a loan by a neighbor, friend or family member. But it can lead to problems when the principal and payments involved are too large to manage with back-of-the-napkin calculations and a handshake.
People might be hearing more requests for large personal loans during May because it's National Home Improvement Month. If you're considering a request for a loan to finance a home improvement project, you may want to consider acquiring a reliable loan calculator and amortization schedule software to manage the repayment plan. This can help ensure that the loan is repaid in a timely manner, without tension between borrower and lender.
Using a spreadsheet may seem to work well enough, but even the smallest typographical error could result in the entire payment schedule becoming unworkable if the problem isn't discovered quickly. If the debt takes longer than expected to pay down, it could lead to awkward situations at family gatherings or nights out with friends. Creating an accurate amortization schedule will help the lender and borrower stay on the same page in terms of when payments are due.
When lenders use software that is specifically designed for servicing personal loans, they can explore different options for scheduling payments and find the solution that works best for their situation. This provides the best chance for the loan to be repaid in a timely fashion.
Graveco Software's personal loan calculator allows users to quickly generate, save and print amortization schedules for any type of loan or payment schedule. Contact us to learn more or download a demo of our amortization software today.