Amortization schedule
Use the amortization calculator to generate a schedule that shows what your mortgage looks like. Enter the amount of the mortgage, the interest rate, and the amortization period.
Some information about mortgages
Canadian mortgages are only compounded twice a year rather than every month as in U.S. mortgages. An amortized loan is one with a fixed period for pay-back. Compare that to a revolving loan, such as credit card debt, where one pays off the balance without regard to predetermined loan term. With a mortgage, because one knows the term of the mortgage, the interest can be calculated immediately. Then, payments are made against the interest and the principal balance. At the start, most of the payments go to cover interest, but over time, an increasing amount goes to pay back the principal.