Equity usually means the borrower's principal balance, i.e., the sum of
the down payment and principal payments to date.

You're right, Harlan. However, the formula would converge to zero as the
borrower had less & less equity, which is (I'm guessing) the opposite of the
intended result

=B7*0.0036/12*B6<.2

That's what happens when you slap an answer down without testing 'cause you
have to step out for a meeting.....

"Harlan Grove" wrote:

Duke Carey wrote...
Your statement of the issue is contradictory. If the calculation is
(equity(do you mean debt?)*0.0036/12) when the equity is less than 20%, you'd
simply use

=B7*0.0036/12*B6<.2

Equity usually means the borrower's principal balance, i.e., the sum of
the down payment and principal payments to date.

Your formula above will return TRUE or FALSE, never a numeric result,
because Excel *ALWAYS* gives higher precedence to arithmetic operators
than to comparison operators. In other words, this evaluates the same
as

=(B7*0.0036/12*B6)<.2

while it would appear the OP needs

=B7*0.0036/12*(B6<.2)

Simple Rule: *ALWAYS* parenthesize boolean expressions used as operands
to arithmetic operators.

However, you also mention 15% as some kind of threshold. Is there a
different calculation for equity less than 15%. If so, then....

=IF(B6=0.2,"0",IF(B6=.15,B7*0.0036/12,what's the formula for 0% to 14.9%))
....

If the result should be zero outside the 15% to 20% window, another
alternative would be

=(ABS(B6-0.175)<0.025)*B7*0.0036/12