Personal Loan Calculator
Estimate your monthly payment, total interest, and total cost for a personal loan. Adjust the loan amount, term, and interest rate to find the right plan for your budget.
How much do you need to borrow?
Select the repayment period for your loan
Annual percentage rate offered by your lender
Loan Summary
Monthly Payment
$473.51
36 monthly payments
Total Interest
$2,046.47
13.6% of loan amount
Total Cost
$17,046.47
Principal + Interest
APR
8.50%
Annual Percentage Rate
Payment Breakdown
Principal vs Interest
Remaining Balance
Amortization Schedule
| # | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $473.51 | $367.26$367.26 | $106.25$106.25 | $14,632.74$14,632.74 |
| 2 | $473.51 | $369.86$369.86 | $103.65$103.65 | $14,262.87$14,262.87 |
| 3 | $473.51 | $372.48$372.48 | $101.03$101.03 | $13,890.39$13,890.39 |
| 4 | $473.51 | $375.12$375.12 | $98.39$98.39 | $13,515.27$13,515.27 |
| 5 | $473.51 | $377.78$377.78 | $95.73$95.73 | $13,137.49$13,137.49 |
| 6 | $473.51 | $380.46$380.46 | $93.06$93.06 | $12,757.03$12,757.03 |
| 7 | $473.51 | $383.15$383.15 | $90.36$90.36 | $12,373.88$12,373.88 |
| 8 | $473.51 | $385.86$385.86 | $87.65$87.65 | $11,988.01$11,988.01 |
| 9 | $473.51 | $388.60$388.60 | $84.92$84.92 | $11,599.42$11,599.42 |
| 10 | $473.51 | $391.35$391.35 | $82.16$82.16 | $11,208.07$11,208.07 |
| 11 | $473.51 | $394.12$394.12 | $79.39$79.39 | $10,813.94$10,813.94 |
| 12 | $473.51 | $396.91$396.91 | $76.60$76.60 | $10,417.03$10,417.03 |
How Does a Personal Loan Calculator Work?
A personal loan calculator uses the standard loan amortization formula to determine your fixed monthly payment based on three inputs: the loan amount (principal), the annual interest rate (APR), and the loan term in months.
The formula works by distributing both principal and interest across equal monthly payments. In the early months, a larger portion of each payment goes toward interest. As the principal balance decreases, more of each payment is applied to the principal. This process is called amortization, and the table below the calculator shows exactly how each payment is split.
Personal loans are typically unsecured, meaning they do not require collateral like a house or car. Because of this, lenders rely more heavily on your creditworthiness when setting the interest rate. Borrowers with excellent credit (750+) can often qualify for rates below 8%, while those with fair or poor credit may see rates between 15% and 36%.
Use this calculator to compare different scenarios. Try adjusting the loan term to see how a shorter repayment period reduces total interest, or experiment with different interest rates to understand the impact on your monthly budget. The amortization schedule and payment charts give you a complete picture of your loan over time.
Frequently Asked Questions
What is a personal loan?
A personal loan is an unsecured loan from a bank, credit union, or online lender that you repay in fixed monthly installments over a set term. Because they are unsecured, personal loans typically carry higher interest rates than mortgages or auto loans, but they can be used for almost any purpose including debt consolidation, home improvement, or major purchases.
How is the monthly payment on a personal loan calculated?
The monthly payment is calculated using the standard amortization formula: M = P * [r(1+r)^n] / [(1+r)^n - 1], where P is the loan principal, r is the monthly interest rate (annual rate divided by 12), and n is the total number of monthly payments. This formula ensures each payment covers both interest and principal so the loan is fully repaid by the end of the term.
What factors affect personal loan interest rates?
Several factors influence your rate: credit score (higher scores get lower rates), debt-to-income ratio, loan amount, loan term, employment history, and whether you apply with a co-signer. Rates typically range from about 6% for excellent credit to 36% for poor credit. Shopping around and comparing offers from multiple lenders can help you secure a better rate.
Should I choose a shorter or longer loan term?
A shorter term means higher monthly payments but significantly less total interest paid. A longer term lowers your monthly payment but increases the total cost of the loan. For example, a $15,000 loan at 8.5% costs about $1,380 in interest over 24 months versus $3,564 over 60 months. Choose a term that balances affordable payments with minimizing total interest.