Loan Calculator
Free Online Loan Calculator
Use our free loan calculator to estimate your monthly payment, total interest, and total cost for any fixed-rate loan. Whether you are planning a mortgage, auto loan, personal loan, or student loan, this tool gives you instant results along with a complete amortization schedule showing how each payment is split between principal and interest.
How to Use
Enter the loan amount, annual interest rate, and loan term. Toggle between years and months for the term. Click "Calculate" to see your monthly payment, total payment, and total interest. Scroll through the amortization schedule to see the breakdown of every payment over the life of the loan.
FAQ
What formula does this calculator use?
It uses the standard amortization formula: M = P[r(1+r)^n] / [(1+r)^n - 1], where P is the principal, r is the monthly interest rate, and n is the total number of payments.
Does this work for adjustable-rate loans?
This calculator assumes a fixed interest rate for the entire loan term. For adjustable-rate mortgages (ARMs), the results will only be accurate for the initial fixed-rate period.
Why does the interest portion decrease over time?
Each monthly payment first covers the interest on the remaining balance, then the rest goes toward principal. As the balance decreases, less interest accrues, so more of each payment goes toward paying down the loan.
Can I use this for a mortgage calculation?
Yes. Enter your home loan amount, mortgage interest rate, and term (typically 15 or 30 years) to see your estimated monthly mortgage payment and full amortization schedule. Note that actual payments may also include property taxes, insurance, and PMI.