Loan Payment Calculator

How it works

Decision check

Use the payment and total-interest figures to compare scenarios, then verify fees and payment timing against the lender's official disclosure.

Compare like with like

Keep principal, annual-rate convention, payment frequency, and term consistent between scenarios. Add fees, insurance, taxes, and penalties separately, and compare the result with the lender's official disclosure. A lower monthly payment can cost more over a longer term, while a shorter term can leave less room in a monthly budget.

For a positive monthly rate, the payment is P × r × (1+r)^n ÷ ((1+r)^n−1), where P is principal, r is annual rate divided by 12 and 100, and n is the number of monthly payments. The total is payment times n, and interest is total minus principal. A zero rate is handled as principal divided by months. No extra charges are inferred.

Compare responsibly

Try shorter and longer terms, then ask whether the payment fits a realistic budget after housing, taxes, insurance, and emergencies. For variable-rate or irregular loans, ask the lender for an amortization schedule. Keep the calculator's assumptions beside any number you share so an estimate is not mistaken for a contract.

Payment timing matters

Comparison checklist

When comparing scenarios, keep the principal, rate convention, payment frequency, and term consistent. Add lender fees and insurance separately, then compare the calculator's simple result with the official amortization schedule. A lower monthly payment can hide a longer repayment period and higher total cost, while a shorter term may be unsuitable if it leaves no room for emergencies.

This page assumes payments are monthly and begin on the normal amortization schedule. Biweekly payments, extra principal, deferred interest, and interest-only periods change the balance path. The result also uses the nominal annual rate entered rather than calculating a legal APR from fees. When comparing lenders, place this estimate beside each lender's official disclosure and compare equivalent assumptions rather than only the headline rate.

The displayed currency uses a simple dollar format for comparison, not a locale-specific loan disclosure. If your lender quotes an effective rate, a daily rate, or a payment frequency other than monthly, do not copy that number into the annual-rate field without understanding the conversion. Keep the original quote beside this scenario.