# Reverse Loan Calculator Excel

**Introduction**

Calculators are indispensable tools, aiding us in various computations. One specific type gaining popularity is the Reverse Loan Calculator. In this article, we’ll delve into its functionality, provide a working HTML and JavaScript code, and guide you through its usage.

**How to Use**

To utilize the Reverse Loan Calculator, follow these simple steps:

- Input the loan amount, interest rate, and loan term.
- Click the “Calculate” button.
- Instantly obtain the reverse calculation result.

Now, let’s explore the formula behind this calculator.

**Formula**

The formula for reverse loan calculation is as follows:

Where:

*P*is the loan principal,*A*is the monthly payment,*r*is the monthly interest rate (annual rate divided by 12), and*n*is the total number of payments.

**Example**

Consider a loan amount of $100,000, an annual interest rate of 5%, and a loan term of 10 years.

The result will provide the initial loan principal.

**FAQs**

**Q1: Can I use this calculator for any type of loan?**

Yes, the Reverse Loan Calculator is versatile and applicable to various loan types, including mortgages and personal loans.

**Q2: Why is it called a “reverse” loan calculator?**

Unlike traditional loan calculators that determine monthly payments, this calculator reverses the process, giving you the initial loan amount based on monthly payments.

**Q3: Is the interest rate always in percentage format?**

Yes, the interest rate should be entered as a percentage, and the calculator will handle the necessary conversion.

**Conclusion**

The Reverse Loan Calculator simplifies the process of determining the initial loan amount based on monthly payments. Its formula, example, and user-friendly interface make it a valuable tool for financial planning.