Use this free loan calculator to estimate the monthly payment, total interest and total repayment for a fixed-rate personal, auto or other installment loan.
Enter your loan details
Additional fieldsOptional — fees and faster payoff
Estimated loan cost
This estimate assumes a fixed rate and equal monthly payments. It does not include late fees, optional products, changing rates or prepayment penalties. Confirm the lender’s APR, fee treatment and payment schedule before borrowing.
How the loan calculator works
The calculator uses the standard amortization formula for a fixed-rate installment loan. Each payment covers the interest charged for that month and reduces part of the principal. Early payments generally contain more interest; later payments contain more principal.
The monthly payment is based on the loan amount, annual interest rate and number of monthly payments. An entered origination fee is shown as an additional borrowing cost rather than being added to the financed balance.
Example loan calculation
For a $25,000 loan at 8.5% interest over five years, the estimated monthly payment is about $513. Across 60 scheduled payments, total interest is about $5,775 and total principal plus interest is about $30,775.
How extra payments affect a loan
An extra amount paid toward principal can reduce both payoff time and interest cost. The result depends on how the lender applies additional payments, so confirm that extra money goes to principal and check whether a prepayment penalty applies.
Frequently asked questions
Can I use this for an auto or personal loan?
Yes, when the loan has a fixed interest rate and equal monthly payments. Loans with variable rates, balloon payments or irregular schedules need a different model.
Does the monthly payment include the origination fee?
No. This calculator adds the entered fee to total borrowing cost but does not finance it into the monthly payment. If a lender deducts or finances the fee, adjust the loan amount accordingly.
What happens with a 0% interest rate?
The principal is divided evenly across the selected number of months, producing no interest cost.
Why might a lender quote a different payment?
Rounding, payment dates, financed fees, insurance, variable rates and lender-specific calculation rules can change the result.
Should I make extra loan payments?
It depends on the rate, penalties, emergency savings and other priorities. Compare the guaranteed interest savings with your need for cash flexibility.
Continue planning
Money Basics Hub provides educational information, not personalized financial, investment, tax or legal advice. Review actual lender disclosures before making a borrowing decision.