Finance

Free Loan Calculator with Amortization Schedule

Calculate monthly loan payments, total interest paid, and full amortization schedule. Supports extra payments, comparison mode, and CSV export. Free, instant, no signup.

$
%
$

Monthly Payment

$489.15

$4,349.22
Total Interest
$29,349.22
Total Paid
Jul 2031
Payoff Date
60 months
Term

Principal vs Interest

Balance Over Time

Amortization Schedule

#DatePaymentPrincipalInterestBalance
1Aug 2026$489.15$353.74$135.42$24,646.26
2Sep 2026$489.15$355.65$133.50$24,290.61
3Oct 2026$489.15$357.58$131.57$23,933.03
4Nov 2026$489.15$359.52$129.64$23,573.51
5Dec 2026$489.15$361.46$127.69$23,212.05
6Jan 2027$489.15$363.42$125.73$22,848.63
7Feb 2027$489.15$365.39$123.76$22,483.24
8Mar 2027$489.15$367.37$121.78$22,115.87
9Apr 2027$489.15$369.36$119.79$21,746.51
10May 2027$489.15$371.36$117.79$21,375.15
11Jun 2027$489.15$373.37$115.78$21,001.78
12Jul 2027$489.15$375.39$113.76$20,626.38

This calculator provides estimates for informational purposes only. Actual loan terms may vary by lender. Consult a financial professional before making financial decisions.

What is a Loan Calculator?

A loan calculator computes your monthly payment, total interest paid, and amortization schedule based on three inputs: loan amount (principal), annual interest rate, and loan term. It applies the standard amortization formula used by every bank and lender to give you an accurate picture of what any loan will cost over its lifetime.

How Loan Payments Are Calculated

Every regular (fixed-rate) loan uses this amortization formula:

M = P[r(1+r)^n] / [(1+r)^n – 1]

Where M is the monthly payment, P is the principal, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of payments (years × 12). Each month, the interest portion equals the outstanding balance × monthly rate; the remainder of your payment reduces the principal. Early payments are mostly interest; later payments are mostly principal.

How to Use This Loan Calculator (4 Steps)

  1. Enter your loan amount — the amount you are borrowing (before any down payment).
  2. Enter the interest rate — your annual interest rate, found on your loan offer or statement.
  3. Set the term — the number of years to repay the loan (e.g. 5 for a typical auto loan, 30 for a mortgage).
  4. Optionally add extra payments — see how much interest you save and how many months earlier you pay off the loan.

Types of Loans You Can Calculate

Personal Loans

Unsecured personal loans typically range from $1,000–$50,000 with terms of 1–7 years and rates of 6%–36% depending on credit score. Use this calculator to compare offers from different lenders before signing.

Auto Loans

Auto loans typically run 36–72 months at rates of 4%–12%. A longer term lowers your payment but significantly increases total interest — use the amortization table to see the full cost of each option.

Student Loans

Federal student loans for 2024–25 carry rates of 6.53%–9.08% with standard 10-year repayment. Income-driven plans change the calculation, but this tool handles the standard case. Add extra payments to model aggressive payoff strategies.

Small Business Loans

SBA loans typically carry rates of 7%–11% with terms of 5–25 years. This calculator handles any combination — enter your offered terms to compare total cost of capital.

Home Equity Loans

Fixed-rate home equity loans (distinct from HELOCs) work exactly like personal loans and are fully supported by this calculator. Enter the lump-sum amount, rate, and term to see your exact monthly payment.

Tips to Save Money on Your Loan

Worked Example

Scenario: $25,000 personal loan at 7% annual interest for 5 years.

Frequently Asked Questions

How is monthly loan payment calculated?

Monthly payment is calculated using the standard amortization formula: M = P[r(1+r)^n] / [(1+r)^n – 1], where P is the principal (loan amount), r is the monthly interest rate (annual rate ÷ 12), and n is the total number of payments (years × 12). This formula ensures each payment covers that month's interest first, with the remainder reducing the principal balance.

What's the difference between APR and interest rate?

The interest rate is the cost of borrowing the principal, expressed as a percentage. APR (Annual Percentage Rate) is the broader measure of the total cost of the loan per year — it includes the interest rate plus fees, closing costs, and other charges. For simple personal or auto loans with minimal fees, APR and interest rate may be nearly identical. For mortgages, the APR is often notably higher than the interest rate due to origination fees and points. This calculator uses the interest rate you enter, not APR.

Does this calculator include taxes and insurance?

No — this calculator computes principal and interest only. For mortgage loans, your actual monthly payment may be higher because lenders often collect property taxes and homeowner's insurance through an escrow account (PITI: Principal, Interest, Taxes, Insurance). For auto loans, insurance is a separate cost. Use this calculator to understand the loan payment itself, then budget separately for taxes and insurance.

How can extra payments save money?

Every extra dollar you pay goes directly toward reducing the principal balance. A lower principal means less interest accrues the following month, so a larger portion of your next regular payment goes toward principal — accelerating the payoff. Even $50–$100 extra per month on a large loan can save thousands in interest and shave months or years off the loan term. Use the extra payment field in this calculator to model your specific scenario.

Is this calculator accurate for mortgages?

It is accurate for the principal-and-interest portion of a mortgage payment. Standard mortgages use the same amortization formula this calculator implements. However, mortgages may have additional complexity — adjustable rates that change over time, bi-weekly payment schedules, mortgage insurance (PMI), or balloon payments — that this calculator does not model. For a rough estimate of your mortgage payment, this tool is accurate. For finalised figures, use a mortgage-specific calculator or consult your lender.

What does amortization mean?

Amortization means paying off a debt through scheduled, regular payments over time. Each payment covers the interest that accrued that period, with the remainder applied to the principal. Early in the loan, most of each payment is interest; late in the loan, most is principal. An amortization schedule is a table showing exactly how each payment is split between principal and interest, and what the remaining balance is after every payment.

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