Loan Calculator

Calculate monthly loan payments, total interest, and total repayment amount. Compare loan terms to find the best financing option for personal loans, auto loans, and more.

How to Use This Calculator

Our loan calculator helps you understand the true cost of borrowing before you sign. Here's how to calculate your loan payment:

  1. Enter the loan amount - the total principal you need to borrow.
  2. Input the annual interest rate (APR) you've been offered or expect to qualify for based on your credit score.
  3. Select the loan term in years - shorter terms mean higher payments but less total interest.
  4. Click 'Calculate' to see your monthly payment, total interest, and total amount you'll repay.

Why This Matters

Whether you're financing a car, consolidating debt, or funding a major purchase, understanding your loan terms is crucial for financial health. The difference between loan offers might seem small (a few percentage points), but over years of payments, it can add up to thousands of dollars. This calculator helps you compare offers and understand exactly what you're committing to before signing loan documents.

  • Compare loan offers from different lenders to find the best deal
  • Understand how interest rate changes affect your total cost
  • See the impact of different loan terms on monthly payments vs total interest
  • Plan your budget accurately with precise monthly payment calculations
  • Make informed decisions about whether to borrow or save for purchases

Worked Examples

Personal Loan

You need a $15,000 personal loan for home improvements. Your bank offers 8.5% APR for 5 years.

Calculation: Monthly payment: $307.26 | Total interest: $3,435.60
Result: You'll pay back $18,435.60 total over 60 months.

Comparing Loan Terms

You're borrowing $10,000 at 7% APR. Compare a 3-year vs 5-year term.

Calculation: 3-year: $308.77/mo ($1,115.72 interest) | 5-year: $198.01/mo ($1,880.60 interest)
Result: The shorter term saves $764.88 in interest but costs $110.76 more monthly.

Debt Consolidation

You're consolidating $25,000 in credit card debt (was 22% APR) to a personal loan at 10% APR for 4 years.

Calculation: New payment: $634.07/mo | Total interest: $5,435.36
Result: Much better than credit card minimum payments - you'll be debt-free in 4 years with a clear end date.

Common Mistakes to Avoid

  • Focusing only on monthly payment instead of total cost - a longer term means lower payments but much more interest overall.
  • Not comparing APR across lenders - even 1% difference on a $20,000 loan can mean $1,000+ in savings.
  • Forgetting about origination fees - some lenders charge 1-5% upfront, which should factor into your comparison.
  • Taking the longest term available just for lower payments - you'll pay significantly more interest over time.
  • Not checking your credit score first - knowing your score helps you understand what rates you'll qualify for.

Frequently Asked Questions