Loan Payment Calculator

See your monthly loan payment instantly.

The total amount borrowed.

The loan's annual percentage rate (APR).

How many months you'll be paying the loan off.

Monthly Payment —
  • Total Paid —
  • Total Interest —
Advertisement

Loan Payment Formula

This uses the standard loan amortization formula:

M = P × r × (1+r)n ÷ ((1+r)n − 1)

Where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of monthly payments.

What Each Input Means

Loan Amount is the total amount borrowed.

Annual Interest Rate is the loan’s APR.

Loan Term (months) is how many months you’ll be paying it off.

Worked Example

A $10,000 loan at 12% APR for 12 months has a monthly interest rate of 1%. Plugging into the formula gives a monthly payment of $888.49. Over 12 payments you’ll pay $10,661.88 total — $661.88 of that is interest.

Advertisement

Frequently Asked Questions

How is the monthly payment calculated?

It uses the standard loan amortization formula, which spreads the loan amount and interest evenly across every payment so the balance reaches exactly $0 at the end of the term.

What if my interest rate is 0%?

With no interest, the payment is simply the loan amount divided evenly across the number of months, and total interest is $0.

Results are estimates for informational purposes only and are not financial, tax, or legal advice.