Loan Calculator
Work out any fixed-rate loan — personal, auto, or mortgage. Enter the amount, rate, and term to get your monthly payment and total interest, then test extra payments and see how your rate compares to the current average for your loan type.
Principal vs. interest
How you compare
💸 Compare loan offers & rates
Get quotesHow loan payments work
A fixed-rate loan charges interest each month on the balance you still owe. Your payment is sized so the loan lands on exactly zero at the end of the term — early payments are mostly interest, later ones mostly principal. Because interest is charged on the remaining balance, anything extra you pay is applied to principal and quietly removes all the future interest that balance would have generated.
How it’s calculated
Payment = P × r ÷ (1 − (1 + r)−n), where P is the amount, r the monthly rate, and n the number of months. Total interest = payment × n − P. Extra payments are simulated month-by-month against the balance.
Results update as you type and are estimates, not professional advice — verify terms with your lender before signing.
Amortization by year
Includes any extra monthly payment you entered.
Worked example
A $20,000 loan at 9.5% over 5 years costs $420.04 a month — $25,202 in total, of which $5,202 is interest. The same loan over 3 years costs $640.70 a month but only $3,065 in interest.
Common mistakes
- Comparing loans by monthly payment instead of total cost — a longer term almost always costs more overall.
- Ignoring origination fees; a 5% fee on a personal loan can outweigh a 1% rate difference.
- Assuming the advertised rate is your rate — offers depend on credit score, term, and loan type.
Where it is used
- Sizing a personal loan, auto loan, or small mortgage before you shop.
- Checking a lender’s quoted payment for hidden term changes.
- Deciding whether extra monthly payments are worth it.
Frequently asked questions
What's the difference between interest rate and APR?
The interest rate is the cost of borrowing the principal; APR adds required fees (like origination charges) and spreads them over the term, so APR is the better number for comparing offers. This calculator uses the interest rate, so add fees mentally when comparing loans with different costs.
Is my rate good?
It depends on the loan type. As benchmarks: banks' average 24-month personal-loan rate is about 11.4% (Federal Reserve G.19, early 2026), 60-month new-car loans average about 7.5% (Q1 2026), and the 30-year mortgage averages 6.43% (Freddie Mac PMMS, Jul 2 2026). Pick your loan type above and the compare bar scores your rate against the matching average.
How much do extra payments actually save?
Every extra dollar goes straight to principal, so future interest is charged on a smaller balance. On a $20,000 loan at 9.5% over 5 years, about $50 extra a month pays it off roughly 7 months sooner and saves several hundred dollars in interest — the calculator shows your exact figure.
Should I pick a longer term to lower the payment?
A longer term lowers the monthly payment but raises total interest, because you hold the balance longer. Compare the “Total interest” line at different terms before deciding — the difference is often larger than people expect.
Does this include origination fees or insurance add-ons?
No — it models principal and interest only. If a lender deducts an origination fee up front, you effectively borrow more than you receive, which raises your true cost. Ask for the APR and the full payoff schedule to compare fairly.