How interest is applied to loans

Hey everyone,

I need help understanding how interest is applied to my loan over time.
Here are some example stats

Monthly Mandatory repayments (taken from my pay): £130

Interest rate: 6.3%
loan: £66,000

Would my loan grow every month based on this equation ?

new balance = balance + (balance * 0.063)/12 - 130

> does this happen every month for 30 years?

> is the interest applied before or after the mandatory repayment is deducted?


P.S. I'm trying to make a computer program that simulates loan repayments and want to make sure I am using the correct formulas
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