Loan Calculator
Calculate your monthly loan payments, total payment amount, and total interest paid.
Loan Results
Extra Mortgage Payment Calculator
See how much you could save by making extra payments toward your mortgage principal. Our dedicated calculator helps you create a custom payoff strategy.
- Compare different extra payment strategies
- See how much interest you could save
- Calculate your new payoff date
Extra Mortgage Payment Calculator
Customize your mortgage repayment strategy with our specialized calculator.
Try NowHow to Use This Calculator
1. Enter Loan Details
Start by selecting your preferred currency and entering the basic details of your loan:
- The total amount you're borrowing
- The annual interest rate
- The loan term in years
2. Calculate Results
Click the "Calculate" button to see your loan breakdown. The calculator will instantly show you:
- Your monthly payment amount
- The total amount you'll pay over the loan term
- The total interest you'll pay
3. Review Amortization Table
Examine the detailed amortization table which shows how each payment is applied throughout the life of your loan:
- See how much goes to interest vs. principal each month
- Track the remaining balance after each payment
- View 12 months at a time or expand to see the full schedule
4. Visualize Your Loan
Analyze the visual graph that illustrates:
- How your loan balance decreases over time
- The relationship between principal and interest payments
- The total principal paid at each stage of your loan
Try Different Scenarios
Experiment with different loan amounts, interest rates, and terms to compare scenarios and find the option that best fits your financial situation. This can help you make informed decisions about loan terms and understand how they affect your overall costs.
How This Loan Calculator Works
Understand the math and mechanics behind your loan calculations
The Calculation Formula
This calculator uses the standard formula for calculating fixed-rate loan payments:
M = P [ r(1 + r)^n ] / [ (1 + r)^n - 1 ]
Where:
- MMonthly payment
- PPrincipal (loan amount)
- rMonthly interest rate (annual rate divided by 12 and 100)
- nTotal number of payments (loan term in years × 12)
Understanding the Amortization Table
The amortization table shows how each payment is applied to your loan:
- Payment: The fixed amount you pay each month
- Interest: The portion of your payment that goes toward interest
- Principal: The portion of your payment that reduces your loan balance
- Remaining Balance: The outstanding loan amount after each payment
How Loan Amortization Works
In the early years of your loan, a larger portion of each payment goes toward interest rather than principal. As you continue making payments, this ratio shifts gradually, with more of each payment going toward principal and less toward interest.
Pro tip: Making extra payments early in your loan term can significantly reduce the total interest paid over the life of the loan.
Important Considerations
When using this calculator, remember these important points:
- The calculator assumes a fixed interest rate throughout the loan term
- All payments are assumed to be made on time
- Additional fees like origination fees are not included
This calculator provides estimates for educational purposes only. Always consult with financial professionals before making important financial decisions.
Frequently Asked Questions
Everything you need to know about loan calculations
What is the difference between interest rate and APR?
The interest rate is the percentage charged on the principal loan amount. The Annual Percentage Rate (APR) includes both the interest rate and other costs such as broker fees, discount points, and other lender fees. This calculator uses the interest rate for calculations.
Does this calculator account for variable interest rates?
No, this calculator assumes a fixed interest rate throughout the life of the loan. For variable-rate loans, the interest rate can change over time based on market conditions, which would affect your monthly payments and total interest.
How can I reduce the total interest I pay?
You can reduce total interest by making extra payments toward the principal, choosing a shorter loan term, finding a loan with a lower interest rate, making bi-weekly payments instead of monthly payments, or refinancing to a lower rate if interest rates decline.
How accurate are the calculations?
This calculator uses standard financial formulas to provide accurate estimates based on the information you enter. However, the actual loan terms from a lender might differ slightly due to factors like daily interest calculations, rounding methods, or additional fees.
Are there any fees not accounted for in this calculator?
Yes, this calculator focuses on the basic loan payments and interest. It doesn't account for additional fees such as origination fees, application fees, prepayment penalties, late payment fees, and insurance costs (like PMI for mortgages).
What happens if I miss a payment?
This calculator assumes all payments are made on time. Missing payments typically results in late fees, potential damage to your credit score, and additional interest accruing on your loan. The exact consequences depend on your lender's policies and the terms of your loan agreement.
Can I use this calculator for business loans?
Yes, this calculator can be used for business loans that have a fixed interest rate and regular payment schedule. However, business loans may have different structures, such as balloon payments or variable rates, that aren't accounted for in this calculator.
How is the amortization schedule calculated?
The amortization schedule shows how each payment is divided between interest and principal. Initially, a larger portion goes to interest, but as you pay down the loan, more of each payment goes toward the principal. This calculator creates a month-by-month breakdown of this allocation.
Start planning your financial future now
Use our loan calculator to find the right terms and see how much you'll pay over time.
Extra Mortgage Payment Calculator
See how much you could save by making extra payments toward your mortgage principal. Our dedicated calculator helps you create a custom payoff strategy.
- Compare different extra payment strategies
- See how much interest you could save
- Calculate your new payoff date
Extra Mortgage Payment Calculator
Customize your mortgage repayment strategy with our specialized calculator.
Try Now