Vehicle and equipment lease estimate
Sri Lanka Leasing Calculator – Monthly Payment & Interest
Estimate the monthly rental, total interest and full cash cost of a Sri Lankan vehicle or equipment lease using the flat or reducing-balance rate quoted by the lender.
Lease payment calculator
Compare the quoted lease method and total cost
Use the exact rate type stated in the quotation. The same percentage produces different costs under flat and reducing-balance methods.
Estimated lease cost
Reducing-balance estimate
- Total scheduled rentals
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- Interest as share of amount financed
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- Same percentage using the other method
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The comparison applies the same numeric percentage under both formulas only to demonstrate the difference. It is not a conversion between equivalent flat and reducing rates.
Year-by-year repayment estimate
| Year | Principal paid | Interest paid | Closing balance |
|---|
Two interest methods
Flat rate versus reducing-balance leasing
Under a flat-rate estimate, interest is calculated on the original financed amount for the whole term. Under a reducing-balance estimate, each month’s interest is charged on the balance still outstanding and the equal rental follows the standard annuity formula.
Both methods assume equal monthly rentals paid at the end of each month, with no balloon or residual payment. A quotation using rentals in advance, an irregular first period or a final residual value requires the lender’s own schedule.
Use the written quotation, not an advertised rate alone
Rates, advance-payment requirements, insurance, taxes, documentation charges, residual values, late fees and early-settlement terms vary. This is a repayment estimate, not a lender quotation, credit decision, maximum loan-to-value check or hire-purchase legal calculation.
Sri Lanka leasing calculator questions
Why does a 12% flat lease cost more than a 12% reducing lease?
Flat interest continues to use the original financed amount even as instalments are paid. Reducing-balance interest falls with the outstanding principal, so equal percentages are not equal borrowing costs.
Does this result include every vehicle-leasing charge?
No. Add only the known financed and upfront fees shown in your quotation. Confirm insurance, registration, taxes, valuation, penalties and early-settlement calculations directly with the lender.