Is the Loan Calculator free to use?

Yes, our Loan Calculator is completely free to use with no registration required.

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Loan Calculator

Calculate monthly loan payments, total interest, and repayment schedule with extra payments and balloon payment support.

Loan Amount ($)

Annual Interest Rate (%)

Years

Months

Loan Start Date

Extra Payments

Recurring Extra Payment ($)

Frequency

One-time Extra Payment ($)

Apply One-time at Month #

Balloon Payment

End-of-term Balloon Payment ($)

A large lump-sum payment due at the end of the loan term

Monthly Payment

$536.82

Total Interest

$93,255.78

Total Paid

$193,255.78

Effective Annual Rate

5.12%

compounded monthly

Formula

\text{PMT} = P \times \frac{r(1+r)^t}{(1+r)^t - 1}

Where $P$ = principal, $r$ = monthly rate, $t$ = total months

Amortization Schedule

#	Date	Payment	Principal	Interest	Extra	Balance
1	Aug 2026	$536.82	$120.15	$416.67	—	$99,879.85
2	Sep 2026	$536.82	$120.66	$416.17	—	$99,759.19
3	Oct 2026	$536.82	$121.16	$415.66	—	$99,638.03
4	Nov 2026	$536.82	$121.66	$415.16	—	$99,516.37
5	Dec 2026	$536.82	$122.17	$414.65	—	$99,394.20
6	Jan 2027	$536.82	$122.68	$414.14	—	$99,271.52
7	Feb 2027	$536.82	$123.19	$413.63	—	$99,148.33
8	Mar 2027	$536.82	$123.70	$413.12	—	$99,024.62
9	Apr 2027	$536.82	$124.22	$412.60	—	$98,900.41
10	May 2027	$536.82	$124.74	$412.09	—	$98,775.67
11	Jun 2027	$536.82	$125.26	$411.57	—	$98,650.41
12	Jul 2027	$536.82	$125.78	$411.04	—	$98,524.63

Loan Summary

Loan Amount: $100,000.00

Total Interest: $93,255.78

Total Paid: $193,255.78

Payoff Time: 360 months (30y 0m)

How to Use

1
Enter the loan amount, interest rate, and loan term
2
Optionally add recurring extra payments (monthly, quarterly, half-yearly, or yearly)
3
Optionally add a one-time extra payment at a specific month
4
Set a balloon payment if your loan has one
5
View monthly payment, total interest, amortization schedule, and effective annual rate
6
Understanding the key inputs — the loan amount is what you borrow, the interest rate is the annual percentage rate, and the loan term determines how many months you have to repay
7
Interpreting the results — the amortization schedule shows how each payment is split between principal and interest, and how your balance decreases over time
8
Compare different loan terms side by side to see how shorter terms save on total interest even though monthly payments are higher

Examples

Good Examples

Standard loan calculation

$100,000 loan at 5% for 30 years = $536.82/month

Short-term loan

$20,000 loan at 6% for 5 years = $386.66/month

Extra payments save interest

$100,000 at 5% for 30 years + $100/month extra saves ~$34,000 in interest

Comparing 3-year vs 5-year auto loan ($25,000 at 6.5%)

3-year: $766/mo, total interest $2,576. 5-year: $489/mo, total interest $4,332. Shorter term saves $1,756

How to calculate total cost of borrowing including fees

$50,000 at 7% for 5 years with $500 origination fee: total cost = $59,413 + $500 = $59,913

Bad Examples

Confusing APR and interest rate

APR includes fees, interest rate does not

Ignoring origination fees

Not including fees in total cost comparison

Forgetting about prepayment penalties

Extra payments may incur penalties on some loans

Comparing loans with different terms based only on monthly payment

A longer term means a lower monthly payment but significantly more total interest paid over the life of the loan

Common Mistakes

Confusing APR and interest rate - APR includes fees, interest rate does not
Ignoring fees - origination fees and closing costs add to total cost
Not comparing different loan terms - shorter terms save more on interest
Forgetting about prepayment penalties
Not accounting for balloon payments in total cost calculations
Assuming extra payments reduce monthly obligation - they shorten the term instead
Not factoring in debt-to-income ratio when determining how much loan you can afford
Comparing loan offers without looking at the total cost of borrowing over the full term

Frequently Asked Questions

Fixed or variable interest rate?

This calculator works with fixed interest rates. For variable rates, use the average expected rate over the loan term.

Can I repay early?

Yes, most loans allow early repayment. Check with your lender about any prepayment penalties.

What is a balloon payment?

A balloon payment is a large lump-sum payment made at the end of a loan term. It is commonly used in car finance to reduce monthly repayments. You pay smaller monthly amounts during the term, then a final large payment at the end.

How does the effective annual rate differ from the stated rate?

The effective annual rate (EAR) accounts for compounding within the year. For a 12% stated rate compounded monthly, the EAR is approximately 12.68%, because each month's interest earns interest in subsequent months.

How is the monthly payment calculated?

The monthly payment uses the formula: $\text{PMT} = P \times \frac{r(1+r)^t}{(1+r)^t - 1}$ , where $P$ is the loan amount, $r$ is the monthly interest rate, and $t$ is the number of months.

How does loan term length affect my monthly payment and total cost?

A longer loan term lowers your monthly payment but increases the total interest paid over the life of the loan. For example, extending a 20,000 USD loan from 3 years to 5 years can reduce the monthly payment by 30-40% but increase total interest by 50% or more.

How to compare multiple loan offers side by side?

Compare loans by entering each offer into the calculator with the same loan amount but different rates and terms. Focus on the total cost of the loan (including all interest), the monthly payment amount, and the APR which accounts for fees. The loan with the lowest total cost is usually the best deal.

What is the difference between APR and interest rate on a loan?

The interest rate is the cost of borrowing the principal amount. APR (Annual Percentage Rate) includes the interest rate plus additional fees like origination charges and closing costs, giving you a more complete picture of the true cost of the loan.

How does making biweekly payments instead of monthly affect my loan?

Biweekly payments mean you make 26 half-payments per year, which equals 13 full monthly payments instead of 12. This extra payment each year goes directly toward principal, reducing your total interest and shortening the loan term by several years.

How to calculate loan payments for debt consolidation?

Enter the total consolidated loan amount, the new interest rate, and the repayment term into the calculator. Compare the monthly payment and total cost against your current combined payments to see if consolidation saves you money or lowers your monthly obligation.

What is a good interest rate for a personal loan?

Personal loan rates typically range from 6% to 36% depending on your credit score, income, and loan amount. Borrowers with excellent credit (750+) can often qualify for rates under 10%, while those with fair credit may see rates above 20%.