Loan Calculator

How to use the Loan Calculator

1. Enter the total loan amount you plan to borrow.
2. Set the annual interest rate offered by your lender.
3. Choose the loan term in years.
4. Review your monthly payment, total interest, and total cost of the loan.
5. Scroll down to view the full amortization schedule showing how your balance decreases over time.

Reading an amortization schedule

Early in a loan's life, most of each payment goes to interest; only in later years does the principal portion start to dominate. That's why paying even a small amount extra early in a loan term saves disproportionately more interest than the same extra payment made in year 10. Extra principal paid early compounds in your favor over the entire remaining term. If you're deciding between a shorter loan term at a higher payment versus a longer one at a lower payment, compare total interest paid across the full schedule, not just the monthly number. The "affordable" longer loan is very often the more expensive one in total.

Frequently asked questions

What's the difference between this and a mortgage calculator?

This is built for general installment loans (auto, personal, student) and doesn't include the property tax, insurance, and PMI fields a mortgage calculator needs. Use the dedicated Mortgage Calculator for home loans.

Does it account for extra/prepayments?

Yes. Enter an extra monthly payment amount and the schedule recalculates your new payoff date and total interest saved.

Why is my total interest so much higher than I expected?

Longer terms and higher rates compound more than most people intuitively expect. A longer-term loan at the same rate can cost thousands more in total interest than you'd guess from the monthly payment difference alone. Run both terms through the calculator side by side before signing.