Financial Calculators

Personal Loan Calculator – Calculate Your Loan Payments Easily

4 weeks ago

Loan Details

Loan Amount ($)

$10,000

Annual Interest Rate (%)

5.5%

Loan Term (months)

36 months

Loan Summary

Your monthly payment will be

$0

for 0 months

Total Principal

Total Interest

Total Payment

Payoff Date

–

Personal Loan Calculator — Calculate Your Loan Payments Easily

Alex wants to borrow $12,000 to fix his car and spread repayments over 36 months. He sees two lenders: one offering 6% APR, another 5.5% APR with a $150 origination fee. Alex asks: “How much will I actually pay each month? How much interest overall? When will I be done?” A Personal Loan Calculator answers those questions instantly and helps Alex compare offers so he chooses the best deal.

What this calculator does

Enter your Loan Amount, Annual Interest Rate (APR), and Loan Term (months). The calculator computes:

Monthly payment (fixed payment for each month)
Total principal (the original loan amount)
Total interest paid over the life of the loan
Total payment (principal + interest)
Estimated payoff date (today + loan term in months)

It assumes a standard fully amortizing loan with fixed monthly payments and interest compounded monthly (the most common personal loan setup).

Why this matters

Knowing the monthly payment and total interest keeps you in control. It helps you:

Compare loan offers (APR and fees matter)
Budget monthly cash flow
Decide whether to shorten or lengthen the term
Understand the impact of extra payments or fees

You’ll avoid surprises and pick the option that costs you least over time.

The formula (exact, no mystery)

Let:

P = loan principal (amount borrowed)
r = monthly interest rate = (annual rate ÷ 100) ÷ 12
n = number of monthly payments (loan term in months)

Monthly payment M is:

M = P × r(1 + r)ⁿ (1 + r)ⁿ − 1

If the annual rate is 0% (r = 0), the formula reduces to:

M = P n

Total payment = M × n

Total interest = (M × n) − P

How the calculator works

You enter values: Loan Amount (P), Annual Interest Rate (as %), Loan Term (months).
Convert APR to monthly rate: r = (APR ÷ 100) ÷ 12.
Plug into the formula to get monthly payment M.
Compute totals: total payment = M × n; total interest = total payment − P.
Estimate payoff date by adding n months to today (or a chosen start date).

Show results and an optional amortization table that lists how much of each payment goes to interest vs principal and the remaining balance after each month.

Worked example

Loan Amount P = $12,000
Annual Interest Rate = 6% → monthly r = 0.06 ÷ 12 = 0.005
Term n = 36 months

Monthly payment:

M = 12000 × 0.005(1.005)³⁶ (1.005)³⁶ − 1

≈ $365.04

Total payment = $365.04 × 36 = $13,141.44

Total interest = $13,141.44 − $12,000 = $1,141.44

So Alex pays about $365/month and $1,141 total interest over three years.

❓ FAQs – Loan Calculator

Is APR the same as interest rate?

APR often includes fees and gives a better picture of cost. The nominal interest rate is the simple annual rate before fees.

Yes — as long as the loan is fixed-rate and amortizing. For balloon loans or variable rates, results differ.

Extra principal payments reduce the outstanding balance, cutting future interest and shortening the loan.

Fees may be added to the principal or taken upfront. Either way, they raise the effective cost; include them when comparing loans.

Missing payments may lead to fees and increased interest; your amortization schedule will be disrupted.

Yes. If APR = 0, monthly payment = Principal ÷ months.

Many lenders allow biweekly payments — this reduces total interest via the “extra payment” effect.

It’s a month-by-month table showing each payment’s interest and principal portion and the remaining balance.

Longer terms lower monthly payments but increase total interest paid. Balance cash flow and cost.

Yes — the calculator gives an estimated payoff date (start date + term). For exact payoff, account for payment dates and any skipped or extra payments.