SOLUTION: If Samantha can pay off her loan in 36 months at a 10% interest rate rather than in 48 months at a 12% interest rate, how much money will she save in interest charges on her $6,000

Algebra ->  Customizable Word Problem Solvers  -> Finance -> SOLUTION: If Samantha can pay off her loan in 36 months at a 10% interest rate rather than in 48 months at a 12% interest rate, how much money will she save in interest charges on her $6,000      Log On

Ad: Over 600 Algebra Word Problems at edhelper.com


    

Question 1199687: If Samantha can pay off her loan in 36 months at a 10% interest rate rather than in 48 months at a 12% interest rate, how much money will she save in interest charges on her $6,000 loan?
Answer by ikleyn(52792) About Me  (Show Source):
You can put this solution on YOUR website!
.

If you need the formulas, then you may learn them from your textbook (which I insistently recommend).


If you need the numbers only, you may use some of numerous online calculators for loans.


For example, this one https://www.calculator.net/loan-calculator.html
which is free of charge.


It gives for the 1st scenario   Total of 36 Payments	  $6,969.71

         for the 2nd scenario   Total of 48 Payments	  $7,584.14


The difference  $7,584.14 - $6,969.71 = $614.43  is your ANSWER.


It is the amount  Samantha can save.

Solved.