The primary purpose of an amortization schedule is to illustrate the remainder of a balance that a person still owes after every payment they make. Interest is a monetary charge for being able to borrow money.

The principal amount represents the sum of money put into a loan or investment purchase. View more jobs on Indeed View More What is an amortization schedule?Īn amortization schedule is a list that displays all mortgage or loan payments and describes the payment cost for the principal amount and interest.