Beemer (dr_tectonic) wrote,

Two numeric facts

Two numeric facts from today:

1) It is 2.75 miles from my house to the park-n-ride, and it takes me 55 minutes to walk there. Therefore, my walking speed is just about 3 mph exactly.

55 minutes each way is a bit much, even for the sake of exercise, so I'm not likely to change my commute, but I may walk it one-way from time to time on days I can get Jerry to come pick me up on the trip home.

2) If you have multiple loans at the same interest rate and you're paying steadily on them each month, it doesn't matter how you divide up your payments. As long as you're not letting interest accrue, you can split whatever's left over to pay down the principal however you like and it all comes out the same in the end.

This is obvious to me now, but (somewhat embarrassingly) I couldn't feel sure about it until I proved it to myself with a quick spreadsheet simulation. But think about it. If the interest rate is constant, then each dollar behaves the same, no matter how many of them are bundled together into a loan. Any particular dollar generates the same amount of interest as any other until you pay it off, and then it goes away. Whether you've got one loan for $50,000 dollars, or five loans for $10,000, or even 10,000 loans of five dollars each, it all adds up the same.

Hooray for fungibility!

  • Whoops!

    Just discovered that my Dreamwidth posts haven't been crossposting to LJ since shortly after the pandemic started because I forgot to update my…

  • Milestones

    On Tuesday two weeks ago, I gave the talk that I was scheduled to give a year ago before the conference I was giving it at was cancelled. It's still…

  • Snowpocalypse 21

    It was cloudy and snizzling most of the day Saturday, but the snow didn't really start until Saturday night, and then it kept going all day Sunday.…

  • Post a new comment


    Anonymous comments are disabled in this journal

    default userpic

    Your reply will be screened

    Your IP address will be recorded