However if you paid extra on the principle you would see the formula completely change. The interest is calculated monthly and is a multiplier of your principle. As your principle decreases, your interest is reduced. Therefore your interest portion of your pmt decreases faster.
It appears to be frontloaded, but is simply a function of simple amortization. I know because I track mine monthly to keep an eye on the mortgage company as I am aggressively paying my mortgage down! At this pace I should only have 17 more pmts!
it still is frontloaded... however, as one poster put it, the devil is in the details... I remember having to have my contract changed, to allow for extra payments to be applied to the principal ( the bank will automatically apply any extra monies to the interest ) and to remove the early payoff penalty ( this penalty is to ensure the bank gets all of their interest )... check your papers on ANY loan for ANY thing you get from a bank or any other financial institution... the contract is written so that they get their money first... PERIOD.. do you work for a bank or financial institution.. not a put down question, but a quest for knowledge..... let me know