Re: Mortgage payments - what are they paying? capital/interest/outstanding debt?

Tim wrote:
"Peter Saxton" wrote
... "There is no split. You don't pay some interest and
some capital. You borrow, get charged interest and
make repayments continuously until the debt is cleared.

All that is happening is you are reducing your debt at a faster rate."

Peter, if mortgage repayments cannot be split between
capital & interest, then how did people manage (in years
gone by) to determine the MIRAS benefit applicable?

And how do accountants know which portion of the loan repayment belongs
to the P&L and which to the Balance ***?

Peter, you think the "Rule of 78" should be...what exactly?

.