Loan calculator helps to calculate the monthly payments to repay the loan and the effective interest rate, which all commercial banks must disclose. Loan calculator is used to compare different types of loans and obtain the information you need without the help of bank employees. You will be able to know which part of the payment goes to pay interest on the loan and which part goes to the repayment of the principal amount of the loan. This loan calculator enables you to make calculations by two types of payment: graduated payment, which is a monthly payment that decreases towards the end of the loan period and consists of a constant part of the principal payment and interest on the unpaid balance of the loan; most of banks often use equal monthly payment, which is a fixed monthly loan payment including the accrued interest for the loan and the principal amount – it is used by most commercial banks.
Loan Options
You can set additional parameters of the loan In the calculator settings, but each lending institution has its own peculiarities of calculation
Loan Amount
Loan Term
Interest Rate
Extra Options: show hide
Down Payment
One-Time Commissions
Monthly Fees
Payment Type
[?]Annuity — fixed monthly payment amount. Differentiated — regular reduction in the amount of payments.
Start of Payments
[?]If you take out a loan in May, the first payment will be in June
Monthly Payment Amount
4,320 $
Overpayment of Interest on a Loan
3,687 $
Total Overpayment for the Entire Period
3.69 %
Full Cost of the Loan, % per Annum
[?] The amount that the borrower will overpay for the use of the loan, it includes principal amount, interest overpayments, amount insurance and other payments in favor of the creditor. Expressed as a percentage per annum.
1.84 %

Use an online loan calculator to plan your payments

 

Loans have become an inseparable part of our lives. Almost every adult in his life faces one or several major expenses: purchasing a car, paying for college, construction purposes, starting a business, getting a house, or paying for unforeseen spending. Loans are surrounded by mystery: a borrower can’t accurately estimate his chances to get the necessary funds and not overpay too much. This online loan calculator will allow you to determine if you can borrow the desired sum and pay it back in time.

 

At least once, you’ll find yourself in a situation when your assets or savings don’t meet the demand. But don’t reach for a credit card in the hope of quickly paying for the necessary bills or purchases. Getting a loan is a safer and smarter option. The interest rates are generally smaller and you can get favorable conditions.

 

Try our loan repayment calculator and test your options: by typing different amounts in the fields, you’ll be able to notice the real overpayment, which is often concealed by bank employees. You can do it from the comfort of your own home – from a laptop or a mobile device.

 

Main factors that affect the total amount of the loan

 

Before even considering applying for a loan, it’s necessary to understand if you can afford it. A bank or a dealer can offer you the money but it’s your duty to find out if this is a smart financial move in your situation. The monthly payment consists of the principal sum and interest rate. If the sum can be the same for everyone, the interest rate is calculated independently.

 

The most important factors that define the interest rate are the amount of loan, duration of your loan, amount of upfront payment (if any), personal credit score, and whether the loan is secured or not. A bigger sum and longer term of the loan mean a bigger interest rate and more overpayment, and vice versa. Want to lower your interest rate? Choose shorter loan terms or make a down payment. When you use a personal loan calculator, you can see the detailed list, which contains a fixed monthly amount to pay (principal debt + interest amount).

 

How to use an online loan calculator?

 

The work with the calculator is pretty intuitive and allows you to find out the information about your future loan. You need to choose the currency and type the desired sum in the field, loan term, and interest rate. Every time when you change this information, you get a new result. Pay attention to the table under the calculator – it shows the entire schedule of your payments from the first month, and you can print the result or save the link with your calculations.

 

This loan calculator can be used for determining the accurate sum of monthly payments and shows the total amount of interest rate in every individual case. It supports 5 currencies, including the major ones, and has additional options, like the amount of up-front partial payment, commissions, or type of payment. You’ll get the most precise result if you type more information.

 

Basic terms related to loans

 

As we’ve mentioned, every loan is unique because it covers many aspects – from the reason for borrowing the money to the length of the loan. Understanding how it works will help you evaluate your chances. Before you apply for a loan, make sure you know the basic notions.

 

Amortized loan

 

Almost every loan (mortgage, car, education, etc) falls under the category of so-called amortized loans. In this type of loan, the regular amount to be paid remains fixed but the level of principal and interest changes with every payment. Using a free loan calculator, you can get the full amortization schedule for your situation. It reflects the total amount to be paid until the end of the term and the detailed explanation of how much principal and interest you have to pay every month.

 

Secured and unsecured loans: difference

 

When you decide what you plan to do with the money, you can determine the type of your loan:

 

  • A secured loan is characterized by lower risk and more favorable conditions because they are protected. Usually, the property that you buy is used as collateral: apartment, house, car, etc. Until the borrowed sum is repaid in full, a lender has the right to issue a lien on your possession.
  • An unsecured loan is not backed by anything. It involves higher risk for the lender or a bank because there’s no guarantee of getting money back. Usually, such loans are characterized by huge interest rates, shorter repayment terms, and relatively low amounts available for borrowing. Any type of personal loan falls under this category: student loans, etc.

 

Monthly Payment

 

In amortized loan, a monthly payment is a fixed sum that a borrower pays to the lender. It’s the total sum of repayments, which includes both the principal amount and a part of the interest rate. Knowing the exact amount of monthly payment is significant for planning – it doesn’t change throughout the term of the loan.

 

There’s a formula that allows you to define this monthly payment, depending on your principal amount, percentage, and the number of payments (months, weeks, or days – depending on how often you pay). You don’t have to perform calculations on the piece of paper, just use a convenient personal loan calculator you find on this page and get the details immediately. If you are willing to make up-front payments, just enter the necessary sum – our program will consider all aspects before showing the results.

 

Advantages of using an online calculator

 

Before going to the bank and signing any loan documents, it’s important to estimate the exact sum to be paid. After all, taking a loan means entering into a long-term agreement, and you need to understand if you can pay the money back in full.

 

Here’s why you should use the calculator for your needs:

 

  • Available on any device and is completely free of charge.
  • Instant results save you time.
  • No mistakes in calculation, unlike determining the sum manually.
  • Numerous aspects of loans are covered, including down payment, commissions, and payment type.
  • Supports 5 currencies (USD, EUR, GBP, CNY, RUB).
  • Can be used multiple times.
  • Uses the original formula for calculating the monthly payment amount.
  • Provides accurate amortization schedule, depending on the information you enter.
  • The results can be printed or saved.

 

The loan calculator is always correct as long you provide accurate information. Knowing the sum of regular payments allows borrowers to control their finances and make long-term plans. In general, your monthly payment shouldn’t be more than 30% of your income when applying for a secured loan (buying a car or a house) or 10-15% when getting an unsecured loan for personal expenses (unforeseen spending, covering college costs, etc).