Loan Calculator
Use our free loan calculator to estimate your monthly payment for a personal loan. Enter the loan amount, annual interest rate, and repayment period to instantly see your monthly payment, total amount repaid, and total interest paid.
Frequently Asked Questions
What is the difference between a loan and a mortgage calculator?
A mortgage calculator is designed for long-term real estate loans (typically 10–30 years) and may include property tax and insurance. A loan calculator is for shorter-term personal or consumer loans (typically 3–84 months) with no additional fees.
How is the monthly loan payment calculated?
The monthly payment uses the annuity formula: M = P × [r(1+r)ⁿ] / [(1+r)ⁿ–1], where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12), and n is the number of monthly payments.
What affects the total interest paid?
Three factors: loan amount (higher = more interest), interest rate (higher = more interest), and repayment term (longer = more interest, even though monthly payments are lower).
Is a shorter or longer loan term better?
Shorter term means higher monthly payments but less total interest. Longer term means lower monthly payments but more total interest. The best choice depends on your budget and financial goals.