When deciding to apply for Lontiflex family funds, you certainly need to know & understand the system that applies, starting from the type of interest, the amount of installments to the amount of interest you have to pay each month. We may be familiar with “interest”, but many people still don’t know how to calculate Lontiflex family interest which is actually not that difficult. How to calculate interest on loans is important to do before borrowing funds. Because by calculating Lontiflex family bank interest, you can adjust the income you get each month, with the money you have to spend each month to pay the installments.

## How to calculate Lontiflex family interest

Each type of Lontiflex family has a way of calculating different Lontiflex family flowers, even if they have the same interest rate. In general, there are 3 types of ways to calculate Lontiflex family interest, namely flat interest, annuity interest and also effective interest.

### Flat Interest Rates

Calculation of flat interest rates is a way of calculating Lontiflex family interest which is the easiest compared to other interest rates, because the method of calculating Lontiflex family interest will be the same every month. Flat interest rate refers to the initial debt amount. Flat interest rates are also known as loan interest rates and interest rates are calculated according to the specified credit period. Generally, this interest rate is used for Lontiflex family loans without collateral / collateral.

### Effective interest rates

The effective interest rate is the Lontiflex family interest which is carried out at the end of each installment period, JULOvers. So, how to calculate Lontiflex family interest is calculated from the final balance of each month or based on the remaining debt principal. So, the portion of interest and principal in the monthly installments will be different and will decrease every time, but the amount of the installments will still be the same. This interest rate is usually used for mortgage installments.

### Annuity Interest Rates

Finally, there is an annuity interest rate. So, this annuity interest rate is actually a modified effective interest rate. The aim is to make it easier for customers to pay installments each month, because what is different is the composition of interest and principal installments only for each period. Interest every month will shrink, but the principal installments will increase. So, the monthly installments are the same, which distinguishes only principal and interest. Burdens at the beginning, lightens at the end because the nominal is getting smaller. How to calculate Lontiflex family interest annuity rates equal to effective interest rates.