🏦 Loan Calculator

Find out your monthly loan payment and total cost for any type of loan.

What is a Loan Calculator?

A Loan Calculator helps you find the monthly payment and total interest cost for personal loans, auto loans, or any amortized debt.

M = P[r(1+r)ⁿ]/[(1+r)ⁿ-1]

📝 In-Depth Guide: Mastering Loan Calculator

Before signing any loan agreement, it's vital to know the true cost of borrowing. A "low monthly payment" can sometimes hide a high interest rate or a very long term that results in paying thousands in extra interest.

Principal vs. Interest

Every monthly payment is split. Part goes to paying down the balance (Principal) and part goes to the lender as a fee for the loan (Interest). Use our results to see exactly how much you are handing over to the bank over the life of the loan.

APR vs. Interest Rate

Always look at the APR (Annual Percentage Rate). While the interest rate is the base cost, the APR includes fees and other costs associated with getting the loan, giving you a more accurate picture of the total expense.

Example

📌 Example Calculation

Example: $10,000 loan at 5% for 24 months = $438.71/month

Frequently Asked Questions

An amortized loan is a loan where the principal is paid down over the life of the loan according to an amortization schedule.
Higher interest rates increase your monthly payment and the total interest paid over the life of the loan.