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Finance

Loan Repayment Calculator: Monthly Payment and Total Interest

Enter the loan amount, annual interest rate and term in years to estimate the fixed monthly repayment and the total interest over the life of the loan.

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Your inputs

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02

Your result

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Enter your values and run the tool. Your result will appear here.

How to use the Loan Repayment Calculator

Enter the loan amount, annual interest rate and loan term and the result appears straight away. Everything runs in your browser, so nothing you type is uploaded.

How each repayment is split

Every monthly payment covers the interest charged that month and pays down part of the balance. Early on, most of the payment is interest; by the end, most of it is principal. An amortization schedule lists this split month by month, and adding up the interest column gives the total interest paid over the life of the loan.

Rates, terms and the type of loan

Personal loans, auto loans and student loans all use the same repayment formula, but rates differ by type of loan and by lender. Your credit score has a big effect on the rate you are offered. Longer repayment terms lower the monthly payment but raise the total interest, so compare a few terms before you sign.

The formula

M = P × i × (1+i)^n ÷ ((1+i)^n−1)

Examples

  • 20,000 at 7% for 5 years
    Estimated monthly payment: 396.02
    Total paid: 23,761.44
    Total interest: 3,761.44
  • 20,000 at 7% for 3 years
    Estimated monthly payment: 617.54
    Total paid: 22,231.51
    Total interest: 2,231.51
  • 150,000 at 5% for 20 years
    Estimated monthly payment: 989.93
    Total paid: 237,584.07
    Total interest: 87,584.07

Limitations and assumptions

Assumes monthly payments, fixed rate and no fees, insurance, taxes or variable-rate changes; not a loan offer. Enter a term of at least one month; fractional months are rounded to the nearest whole monthly payment period.

Frequently asked questions

How is the monthly repayment calculated?

M = P × i × (1+i)^n ÷ ((1+i)^n − 1), with i the monthly rate and n the number of months.

Why does a longer term cost more?

Interest accrues on the balance for more months.

Are fees included?

No. See the APR calculator for the effect of fees.

Can I see a payment schedule?

Use the amortization calculator.