Calculate your estimated loan payment, total interest, total cost, and amortization schedule.
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Loan Payment Calculator — Calculate your estimated loan payment based on the amount you borrow, interest rate, loan term, and payment frequency. See your estimated payment, total interest, total loan cost, and amortization schedule in seconds.
A loan payment calculator estimates how much you may need to pay each period to repay a loan over a specific term.
The calculation generally depends on three primary factors: the amount borrowed, the interest rate, and the number of payments. Payment frequency can also affect the calculation when payments are made monthly, biweekly, or weekly.
For a standard fixed-rate amortizing loan, each payment contains both principal and interest. As the balance decreases, the amount of interest charged in each subsequent period generally decreases as well.
To calculate an estimated loan payment, enter the information requested by the calculator:
You can change the inputs to compare different loan scenarios and see how the payment changes.
A monthly loan payment calculator helps estimate the amount required each month to repay a loan over a specific period.
For example, changing the loan amount while keeping the interest rate and term constant will generally change the monthly payment. Changing the repayment term can also change the payment and the total interest paid.
Looking at both the monthly payment and total cost can provide a more complete picture of a loan's repayment structure.
For a standard fixed-rate amortizing loan, the payment formula is:
For a monthly loan, the annual interest rate is converted to a monthly rate and the number of payments is based on the loan term.
If the interest rate is 0%, the payment is calculated by dividing the loan amount by the number of payments.
Suppose you borrow $25,000 at an annual interest rate of 7.5% for 5 years with monthly payments.
The calculator can estimate the monthly payment and show how much of the total repayment represents interest versus principal.
You can also change the loan term or interest rate to see how the estimated payment and total interest change.
The amount borrowed is one of the most important factors affecting the payment. Assuming the same interest rate and term, a larger loan generally produces a larger periodic payment.
The interest rate represents the cost of borrowing. A higher interest rate generally increases the payment and total interest on a standard amortizing loan.
The loan term determines how many payments are used to repay the balance. A longer term can reduce the required periodic payment by spreading repayment over more periods, but it can also increase the total interest paid.
Loans can use different payment schedules. Monthly payments are common, but some loans may use biweekly or weekly repayment schedules.
The payment amount is only one part of the cost of borrowing.
For example, a longer loan term may produce a lower monthly payment while increasing the total amount of interest paid over the life of the loan.
For this reason, comparing loans based only on the monthly payment can give an incomplete picture of the actual financing cost.
This calculator shows both the estimated payment and the total interest associated with the selected loan scenario.
Total interest is calculated from the interest portion of each scheduled payment throughout the repayment period.
Seeing the total interest can help you understand how much the financing costs beyond the original amount borrowed.
An amortization schedule breaks a loan into individual payments and shows how each payment is allocated between principal and interest.
At the beginning of a typical amortizing loan, a larger portion of the payment can go toward interest because the outstanding balance is higher. As the principal balance decreases, the interest portion generally becomes smaller.
The amortization schedule in this calculator allows you to review the first payments or display the complete schedule.
A longer repayment period usually means the loan balance is divided across more payments. This can lower the required payment for a standard amortizing loan.
However, extending the term can also mean paying interest for a longer period. The result can be a higher total cost even though the individual payment is lower.
When comparing loan terms, consider both the periodic payment and the total amount repaid.
When the loan amount and term remain unchanged, a higher interest rate generally produces a higher payment for a standard fixed-rate amortizing loan.
It can also increase the total interest paid throughout the repayment period.
This is why even a relatively small difference in interest rate can matter when comparing financing scenarios.
An amortizing loan is a loan that is repaid through scheduled payments over a defined period. Each payment generally includes principal and interest.
As payments are made, the outstanding principal balance decreases until the loan reaches a zero balance at the end of the scheduled term.
Common examples of amortizing loans include many personal loans, auto loans, and other installment loans.
Yes. The mathematical calculation can be useful for standard fixed-rate installment loans where the loan is repaid through scheduled payments.
Depending on the specific loan product, however, actual terms can include fees, variable rates, balloon payments, interest-only periods, prepayment provisions, or other features that are not represented by this basic calculation.
For a specific financing product, use the calculator designed for that type of loan when available.
This calculator focuses on the principal and interest calculation for a standard amortizing loan.
Actual loans may include additional costs such as origination fees, application fees, closing costs, insurance, taxes, late fees, or other charges depending on the loan product and lender.
Variable-rate loans, lines of credit, balloon loans, interest-only loans, and other specialized financing structures may require different calculations.
A loan payment calculator is a tool that estimates the periodic payment required to repay a loan based on the loan amount, interest rate, repayment term, and payment frequency.
For a standard fixed-rate amortizing loan, the monthly payment can be calculated using the loan amount, monthly interest rate, and total number of monthly payments. This calculator performs that calculation automatically.
The payment depends on the interest rate and repayment term. Enter $10,000 as the loan amount and test different rates and terms to see the estimated payment for each scenario.
The payment on a $25,000 loan depends on the interest rate, loan term, and payment frequency. Use the calculator to compare different combinations.
Generally, a longer repayment term can reduce the periodic payment because the balance is spread across more payments. However, the longer term may increase the total interest paid.
Generally, yes. For a standard fixed-rate amortizing loan with the same amount and term, a higher interest rate results in a higher payment and usually more total interest.
Principal is the amount originally borrowed. Interest is the cost charged for borrowing the money. Loan payments typically contain both principal and interest.
Yes. When the interest rate is 0%, the payment is calculated by dividing the loan amount by the number of scheduled payments.
Yes. The calculator includes an amortization schedule showing the payment amount, principal, interest, and remaining balance for each payment.
The basic calculation focuses on principal and interest. Additional lender fees and other costs may not be included unless they are part of the loan amount being calculated.
No. The result is an estimate based on the information entered. Actual loan payments can differ because of lender terms, fees, rate changes, payment timing, and other factors.
Use the calculator above to estimate your loan payment and compare different borrowing scenarios. Try changing the loan amount, interest rate, and repayment term to see how each factor affects the payment and total cost.
Disclaimer: This loan payment calculator is provided for informational and educational purposes only. Results are estimates and should not be considered financial, lending, legal, accounting, or tax advice. Actual loan payments, rates, fees, and terms vary by lender and loan product.