The current balance on a loan is $3319.59. If the interest rate on the loan is 5% compounded monthly, how long ago was the $2,870 loan made?

Compounded Monthly

An interest calculation method where interest is added to the principal amount every month, leading to a growth in the investment due to interest on interest.

Current Balance

The total amount of money in an account or owed on a loan at any given moment, including principal, interest, and any fees.

Interest Rate

The proportion of a loan or savings amount that is charged or paid as interest to the borrower or saver.