| Many years ago, when you applied for a mortgage, | | | | the exact cost will depend on the particular mortgage |
| your broker or provider would give you one or more | | | | you have. Your mortgage broker or lender will still |
| sheets of paper for you to fill in to help you understand | | | | provide those figures as part of your documentation in |
| your mortgage budget. In addition, he would have to | | | | the same way he/she always did. |
| crank the handle of his desk calculator, or mystifyingly | | | | A loan calculator works in a very similar way to a |
| enter a bunch of numbers into his desk top calculator | | | | mortgage calculator, but the loans are usually smaller, |
| to come up with your expected monthly repayments | | | | and the period of the loan is usually shorter. You can |
| for your mortgage. These cumbersome operations | | | | use a loan calculator to work out what your |
| were the forerunners of today's online mortgage | | | | repayments would be for various loan amounts, |
| calculators. | | | | repayment periods and interest rates. This will of |
| Nowadays there are a range of calculators to help | | | | course help you to decide whether you can afford the |
| you with your financial planning. As well as mortgage | | | | repayments, and help you compare different loans. |
| calculators, there are budget calculators, loan | | | | A budget calculator can help you with budgeting, |
| calculators, pension calculators and even debt tests. | | | | borrowing, planning for the future and shopping around |
| Debt tests help you find out whether you will have - or | | | | for financial products. You can calculate your budget |
| already do have - problems with borrowing. You | | | | and find out if you have enough money to cover your |
| answer a few simple questions, and you get answers | | | | spending. Budget calculators will ask you about your |
| about how much you should borrow, tips how to avoid | | | | income, your pension income, state benefits, |
| debt, and assistance in tackling debt problems. A debt | | | | investment income. It will also ask you about your |
| test can also tell you how you might appear to a | | | | spending habits, such as utlities, phone bills, mortgages, |
| lender - crucial in these times of tightening loan criteria. | | | | rent, etc. It will ask you about other outgoings such as |
| Mortgage calculators can range from a simple | | | | card repayments, pensions and savings, and |
| calculation of monthly repayments to wider assistance | | | | insurances. You will also be asked about your social |
| with budgets and affordability. A mortgage calculator | | | | spending habits, such as going out, alcohol, cigarettes, |
| helps you to see what your mortgage payments might | | | | holidays and similar. On top of that you will be asked |
| be depending on how much you want to borrow, how | | | | about childcare costs, and the amount you spend on |
| long for and at what rate.You can use a mortgage | | | | travel. From these figures the budget calculator will |
| calculator to find out how much your monthly | | | | give you an indication of how much money you have |
| mortgage repayments are likely to be. This can help | | | | available each month. |
| you estimate the size of mortgage you can afford at | | | | A pension calculator enables you to see how much |
| a particular interest rate. It is important to remember | | | | income you might get when you retire - from what |
| that the figures you get in reply are only a guide and | | | | you save now or might save in the future. |