Loan Payment Calculator
Calculate monthly loan payments and view a complete amortization schedule.
Important Notice
These calculators are for educational and informational purposes only. Results are estimates based on the information you provide and should not be considered financial, tax, or investment advice. Your actual results may vary. For personalized guidance, please consult a qualified financial advisor, tax professional, or other appropriate expert.
People Also Ask
How is my loan payment calculated?
Monthly payments are calculated using the loan amount, interest rate, and term. The formula factors in compound interest so that equal monthly payments fully pay off the loan by the end of the term.
What factors affect my loan payment?
Three factors determine your payment: loan amount (higher = higher payment), interest rate (higher = higher payment), and loan term (longer = lower monthly payment but more total interest).
Should I choose a shorter or longer loan term?
Shorter terms have higher monthly payments but save significantly on total interest. Longer terms are more affordable monthly but cost more overall. The decision involves balancing monthly affordability against total cost.
How much of my payment goes to interest?
Early payments are mostly interest; later payments are mostly principal. This is called amortization. On a 30-year mortgage, it takes about 13 years before more goes to principal than interest.
What is loan amortization?
Amortization is the process of paying off a loan through scheduled payments that cover both principal and interest. An amortization schedule shows how each payment is split over the life of the loan.
Can I pay off my loan early?
Most loans allow early payoff without penalty, but check your terms. Extra payments reduce principal faster, saving interest. Even small extra payments each month can shorten the loan significantly.
What is a good interest rate for a personal loan?
Personal loan rates typically range from 6-36% depending on credit score. Excellent credit (720+) qualifies for rates around 6-12%. Fair credit (580-669) may see 15-25% rates.