Oycora methodology
Loan Amortization
The modeled allocation of each loan payment between interest and principal and the resulting remaining balance.
Methodology v1.0Effective 2026-08-23Last reviewed 2026-08-23
How this is calculated
Each period: interest = opening balance × periodic rate; principal = payment - interest
After maturity, projected balance and debt service remain zero. Principal paydown cannot exceed original principal.
Why it matters
Amortization determines debt service, remaining loan balance, and principal paydown over time.
What is included
- Principal
- Interest rate
- Term
- Elapsed payments
What is excluded
- Late fees
- Escrows
- Unmodeled extra payments
- Refinancing unless explicitly modeled
Assumptions and limitations
- Actual lender schedules may differ because of payment timing, rounding, fees, or servicing conventions.