Figure 1.6 Loan Schedule GOODE'S PAWNBROKER Customer Loan Schedule March 1, 2016 Transaction ID 10001 1000 acol bevono Customer ID Customer Name: Antonio Brown Loan Amount: $300,000.00 Annual Interest Rate 25% Number of Periods 36 Monthly payments J$29,246.14 Secured Amount $300,000.00 Loan Approved? Yes Beginning Principal Pre- Ending Period Balance Interest Paid payment Balance J$3,000,000.00 J$300,000.00 J$7,500.00 J$21,746.14 J$278,253.86 J$278,253.86 J$6,956.35 $22,289.79 J$255,964.07 J$255,964.07 J$6,399.10 J$22,847.04 $233,117.03 J$233,117.03 J$5,827.93 J$23,418.21 J$209,698.81 DO VOUTAWNYO J$209,698.81 J$5,242.47 J$24,003.67 J$80,000.00 J$105,695.14 J$105,695.14 J$2,642.38 J$26,603.76 J$79,091.38 J$79,091.38 J$1,977.28 J$27,268.86 J$51,822.53 J$51,822.53 J$1,295.56 J$27,950.58 J$23,871.95 J$23,871.95 J$596.80 J$23,275.15 J$0.00 Figure 1.7 Customer Loan Schedule Column Details Period This is the month in which the monthly payment is due. Period 0 will be the first month the loan is taken. Beginning Balance This is the balance on loan at the start of the period after taking out the previous period's interest, principal paid and pre- payments. Interest This is the portion of the monthly payment that is paid towards interest Principal Paid This is the portion of the monthly payment that is paid towards the principal Pre-payments Any lump sum or un-schedule payments made towards the loan Ending Balance This is the balance at the end of the period i.e. Beginning Balance - (Interest + Principal Paid + Pre-Payments) Avoid having negative balances i.e Interest, Principal Paid, Beginning and Ending Balance.Clients can borrow a maximum of 78% of the estimated value of the items. This is for items in excellent condition and a demand level of high. Figure 1.2 shows the percentage of items that can be used to secure the loan, based on the condition. The demand level also has an impact on the percentage of the item's value used to secure the loan. A further 5% can be added to items with a high demand level and 2% to items with a medium demand level. There is no additional percentage for items with a low demand level. Again, no more than 78% of the item value can be used as collateral. So for example an item in a "Very Good" condition and also having a high demand level, can have 65% plus an additional 5%, i.e 70% of the item's value used as collateral. In the case of an Item in "Excellent" condition and also has a high demand level only total 78% of the item's value can be used as collateral. Figure 1.2 Condition Percentages. Percentage Condition Excellent 75% Very Good 65% Good 50% Fair 40% Poor 25% In an attempt to encourage customers to take higher valued loans, the Goode's tiers interest rate based on loan amount; the bands are show in figure 1.3. Figure 1.3 Loan rate band Loan Amount Interest Rate (Annual) Loan Period (Years) > J$ 500,000 25% 3 J$ 100,000 - J$ 499,999 30% IN