Example 3

MOnthly = 875

1st year
1 year payment = 875 x 12 = 10,500
interest = 190k x 3.75% = 7125
principal = 10500 - 7125 = 3375

2nd year
oustanding = 190k - 3375 = 186625
total payment = 10500
interest = 186625 x 3.75% = 6998
principal = 10500 - 6998 = 3502

3rd year
outstanding = 186625 - 3502 = 183123
total payment = 10500
interest = 183123 x 3.75% = 6867
principal = 10500 - 6867 = 3633

outstanding balance = 183123 - 3633 = 178490

profit = 190k - 178490 = RM11510