Personal Loan calculator
Estimate your monthly payment and review a full amortization schedule.
How the Personal Loan Calculator Works
The Personal Loan Calculator estimates your fixed monthly payment, total interest, and total cost for an unsecured personal loan. Using your loan amount, APR, term, start date, and any extra payments you choose to add, it models a standard fixed-rate amortization schedule so you can see exactly how your repayment plan unfolds month by month.
Core Amortization Formula
For a fixed-rate installment loan with level payments, the calculator uses the standard amortization formula:
Payment = P × [ r(1 + r)n / ((1 + r)n − 1) ]
where:
- P = loan principal (amount you borrow)
- r = monthly interest rate (APR ÷ 12)
- n = total number of monthly payments (term × 12, unless specified otherwise)
Each month, interest is calculated on the remaining balance using r. The scheduled payment first covers that interest; the rest reduces principal. As principal goes down, interest charges shrink and more of each payment goes toward payoff.
Extra Payments & Faster Payoff
The calculator lets you test extra payment strategies without guesswork. When you add recurring extra payments:
- Extras are applied directly to principal after the regular scheduled payment.
- The remaining balance drops faster, which reduces future interest charges.
- Your loan is paid off earlier than the original schedule.
This makes it easy to answer questions like: "What if I add $25, $50, or $100 extra each month?" and see the time and interest savings in concrete numbers.
What the Results Show You
After you enter your details, the Personal Loan Calculator provides a clear snapshot of your repayment plan:
- Monthly payment: your fixed scheduled payment for the chosen term.
- Total interest paid: how much you pay the lender on top of the amount borrowed.
- Total cost: principal plus all interest (and any extra payments you choose to model).
- Projected payoff date: based on your start month and any extra payment strategy.
- Amortization schedule: a breakdown of each year or month, showing principal, interest, extras, and remaining balance.
Seeing this information laid out helps you compare loan options, avoid payment shock, and understand the real cost of borrowing—not just the headline rate.
Practical Use Cases
This Personal Loan Calculator is ideal for planning and comparison when you are considering:
- Debt consolidation into a fixed-rate personal loan.
- Financing home projects, medical expenses, or major purchases.
- Testing whether a shorter term or slightly higher payment could save substantial interest.
- Exploring extra payment strategies before committing to a loan agreement.
Scope, Assumptions & Limitations
To keep the results transparent and easy to interpret, this tool makes a few key assumptions:
- Models fixed-rate, fully amortized personal loans only.
- Assumes on-time payments with monthly compounding and level scheduled payments.
- Treats all extra payments as going directly to principal.
- Does not automatically include origination fees, late fees, variable APRs, or skipped payments.
- Results are estimates for education and planning, not a credit decision, offer, or personalized financial advice.
Educational Insight
Personal loans can be a flexible tool—or an expensive one—depending on the rate, term, and how you manage payments. By showing the full amortization path, total interest, and the impact of small extra payments, this Personal Loan Calculator helps you see beyond the monthly amount, compare offers more confidently, and design a payoff plan aligned with your financial goals.