Calculates the interest paid during a specific period of an investment. This function is provided for compatibility with Lotus 123.
Syntax
ISPMT(rate,per,nper,pv)
Rate is the interest rate for the investment.
Per is the period for which you want to find the interest, and must be between 1 and nper.
Nper is the total number of payment periods for the investment.
Pv is the present value of the investment. For a loan, pv is the loan amount.
Remarks
 Make sure that you are consistent about the units you use for specifying rate and nper. If you make monthly payments on a fouryear loan at an annual interest rate of 12 percent, use 12%/12 for rate and 4*12 for nper. If you make annual payments on the same loan, use 12% for rate and 4 for nper.
 For all the arguments, the cash you pay out, such as deposits to savings or other withdrawals, is represented by negative numbers; the cash you receive, such as dividend checks and other deposits, is represented by positive numbers.
 For additional information about financial functions, see the PV function.
Example
The example may be easier to understand if you copy it to a blank worksheet.
How to copy an example
 Create a blank workbook or worksheet.
 Select the example in the Help topic.
Note Do not select the row or column headers.
Selecting an example from Help
 Press CTRL+C.
 In the worksheet, select cell A1, and press CTRL+V.
 To switch between viewing the results and viewing the formulas that return the results, press CTRL+` (grave accent), or on the Formulas tab, in the Formula Auditing group, click the Show Formulas button.

A 
B 
Data 
Description 
10% 
Annual interest rate 
1 
Period 
3 
Number of years in the investment 
8000000 
Amount of loan 
Formula 
Description (Result) 
=ISPMT(A2/12,A3,A4*12,A5) 
Interest paid for the first monthly payment of a loan with the above terms (64814.8) 
=ISPMT(A2,1,A4,A5) 
Interest paid in the first year of a loan with the above terms (533333) 

Note The interest rate is divided by 12 to get a monthly rate. The number of years the money is paid out is multiplied by 12 to get the number of payments.