Loan calculator

Compare fixed and declining repayment plans using neutral amounts that can represent any currency.

Loan amount
Term in months
Annual interest rate
%
Payment schedule

Monthly payment

322.67

Last payment322.75
Interest over the term1,616.2
Total paid11,616.2

Read explanation below

How the loan calculator works

A repayment plan dividing one loan into monthly amounts

Enter the amount borrowed, the number of months and the nominal annual rate. The calculator shows the payment, total interest and total repaid for fixed or declining installments.

Fixed and declining payment plans

A fixed-payment plan keeps the principal-and-interest installment nearly constant. Early payments contain more interest; later ones repay more principal, which is the usual pattern of an amortizing loan described by the Consumer Financial Protection Bureau.

A=Pr1−(1+r)−n\displaystyle A=P\frac{r}{1-(1+r)^{-n}}

Here P is the amount borrowed, r is the annual rate divided by 12 and 100, and n is the number of months. A declining plan repays an equal share of principal each month, so its first payment is the largest.

Three comparisons worth making

What the estimate leaves out

The calculation assumes a fixed rate, equal monthly periods and payments at the end of each period. It rounds each month to two decimal places and adjusts the final payment to clear the balance.

Fees, insurance, taxes, changing rates, day-count conventions and early repayments are not included. A quoted APR may include fees that the nominal interest rate alone does not.

Questions about loan payments

Which rate should I enter?

Enter the nominal annual interest rate used to calculate periodic interest, not a broader APR that includes fees.

Why can the last fixed payment differ slightly?

Monthly interest is rounded to two decimal places, so the final payment is adjusted to reduce the remaining principal to zero.

Does the calculator include loan fees?

No. Add origination fees, insurance and other required charges separately.

Why do declining payments usually produce less interest?

Principal falls faster from the beginning, leaving a smaller balance on which later interest is charged.

Can I calculate a zero-interest installment plan?

Yes. Enter 0% and the amount is divided across the selected number of months.

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