The PMT function in Excel is a financial function used to calculates the payment of a loan based on payments and interest rates. The formula for the PMT function is PMT(rate,nper,pv,[fv], [type]).

The PMT function is designed to calculate the periodic payment for a loan (assuming constant payments and interest rates). It's a fundamental tool for financial calculations in Excel.

The PMT() function, for example, calculates a loan payment given the number of payments, the interest rate and the principal amount. You use it in a cell formula as the following example ...