Loan Calculator
Calculate the monthly payment, total interest, and total cost of any fixed-rate loan.
Work out the monthly repayment on a fixed-rate loan from the amount borrowed, the annual interest rate, and the term. See how much interest you pay over the life of the loan.
Enter the loan amount, the annual interest rate, and the term in years. The calculator instantly shows the monthly payment, the total interest paid over the life of the loan, and the total amount repaid (principal plus interest). Adjust any field to see the results update immediately — no submission or schedule setup required.
Formula & methodology
M = P · i / (1 − (1 + i)^−N), where P is the principal, i the monthly rate (annual ÷ 12 ÷ 100), and N the number of monthly payments.
Standard amortizing loan with equal monthly payments. Calculated locally in your browser.
Worked example
- $20,000 at 6% for 5 years → ≈ $386.66 / month — Total interest ≈ $3,199.36 over 60 payments.
Assumptions
- The interest rate stays fixed for the entire term; the calculator does not model rate changes or introductory teaser rates.
- Payments are assumed to be made in full and on time every month, with no early repayment, skipped payments, or refinancing.
- The result covers principal and interest only — it does not include lender fees, origination costs, insurance, or taxes.
Common mistakes
- Entering a monthly interest rate instead of the annual rate the lender quotes — the calculator expects the annual percentage rate.
- Assuming a shorter term always costs less: it lowers total interest but raises the monthly payment, which can strain a budget.
- Forgetting that many lenders add origination fees or insurance on top of principal, which this calculator does not include in its estimate.
Frequently asked questions
Does this include taxes or fees?
No. It computes principal and interest only. Add any fees separately.
What if the rate is 0%?
With a 0% rate the payment is simply the amount divided by the number of months.
How does the loan term affect total interest?
A longer term spreads payments out, lowering the monthly payment but increasing total interest because interest accrues for more months. A shorter term raises the monthly payment but reduces total interest.
Does this calculator include fees or insurance?
No. It calculates principal and interest only. Add any origination fees, insurance premiums, or closing costs separately when budgeting.
What's the difference between this and the mortgage calculator?
This tool assumes a single fixed rate for the whole term, ideal for personal, auto, or general loans. Use the mortgage calculator for scenarios with a grace period, staged or adjustable rates, or other mortgage-specific structure.
Privacy
All processing happens locally in your browser. Your data is never uploaded.
Disclaimer: Estimates for educational purposes only, not financial advice.