1. What is Weekly Auto Loan Amortization?

Weekly auto loan amortization breaks down how each weekly payment is split between principal and interest over the life of the loan. It shows how much of each payment reduces your loan balance versus how much goes toward interest.

2. How Does the Calculator Work?

The calculator uses these formulas:

Where:

• \( Interest_k \) — Interest portion of payment for week k
• \( Principal_k \) — Principal portion of payment for week k
• \( Balance_k \) — Remaining balance after week k payment
• \( r_w \) — Weekly interest rate (annual rate ÷ 52)
• \( PMT_w \) — Fixed weekly payment amount

Explanation: Early payments consist mostly of interest, while later payments apply more toward principal.

3. Importance of Amortization Schedule

Details: Understanding your amortization schedule helps you see the true cost of your loan, plan for early payoff, and understand how much equity you're building each week.

4. Using the Calculator

Tips: Enter the total loan amount, annual interest rate (APR), and loan term in weeks. The calculator will show your weekly payment and full amortization schedule.

5. Frequently Asked Questions (FAQ)

Q1: Why choose weekly payments instead of monthly?
A: Weekly payments can save interest by making more frequent principal reductions, and may align better with weekly pay schedules.

Q2: How does weekly compounding affect my loan?
A: Interest compounds more frequently with weekly payments, but you're also paying down principal more often.

Q3: Can I pay extra to reduce my loan term?
A: Yes, additional principal payments reduce your balance faster and can shorten your loan term.

Q4: Are there prepayment penalties?
A: Check your loan terms - most auto loans don't have prepayment penalties.

Q5: How accurate is this calculator?
A: It provides a close estimate, but your actual loan terms may vary slightly based on lender calculations.