Loan Calculator
Find your monthly payment, total interest and payoff schedule for any fixed-rate loan.
About this loan calculator
A fixed-rate loan is repaid in equal monthly installments. Each payment covers that month's interest first, and whatever is left reduces the balance. That is why early payments are interest-heavy and later payments mostly pay down principal — a pattern this calculator shows year by year in the amortization schedule.
Use it to compare offers before you borrow. A lower rate, a shorter term or a smaller amount can change the total interest by thousands of dollars, and seeing the full schedule makes those trade-offs obvious. It works for personal loans, student loans, business term loans and any other loan with a fixed rate and equal payments (sometimes called an EMI, or equated monthly installment).
How to use the Loan Calculator
- Enter the amount you plan to borrow.
- Enter the annual interest rate (APR) from your loan offer.
- Enter the term and choose years or months.
- Read your monthly payment, total interest and the yearly schedule below the results.
The loan payment formula
Payment = P × r ÷ (1 − (1 + r)−n)
P is the loan amount, r is the monthly interest rate (APR ÷ 12 ÷ 100) and n is the number of monthly payments. If the rate is 0%, the payment is simply P ÷ n. Total interest is the sum of all payments minus the amount borrowed.
Worked example
Borrowing $25,000 at 7.5% APR for 5 years gives a monthly rate of 0.625% and 60 payments. The payment works out to about $500.95, you repay about $30,057 in total, and the loan costs roughly $5,057 in interest. Stretching the same loan to 7 years lowers the payment to about $383 but raises total interest to around $7,210.
Tips for better results
- Compare loans by total interest, not just the monthly payment — longer terms look cheaper per month but cost more overall.
- Ask whether the APR includes origination fees; if not, add them to the amount or compare APRs instead of interest rates.
- Extra payments go straight to principal on most loans, shortening the term and cutting interest. Check for prepayment penalties first.
Frequently asked questions
What is the difference between APR and interest rate?
The interest rate is the cost of borrowing the principal. APR also includes certain fees, so it is the better number for comparing offers.
Is EMI the same as a monthly loan payment?
Yes. EMI (equated monthly installment) is the fixed monthly payment on an amortizing loan, which is exactly what this calculator returns.
Why does most of my early payment go to interest?
Interest is charged on the remaining balance. At the start the balance is highest, so the interest portion is largest; as the balance falls, more of each payment goes to principal.
Can I use this for a mortgage?
Yes for the principal and interest part, but the mortgage calculator also adds property tax, insurance, PMI and HOA fees.
This calculator provides estimates for planning only and is not financial advice. Confirm exact figures with your lender or a licensed professional.
Last reviewed: October 2026 · Results are calculated in your browser.
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