Loan Calculator

The Loan Calculator finds your fixed monthly payment, total interest, and total repayment cost for any personal, business, or general-purpose loan based on the amount borrowed, interest rate, and term.

How loan payments are calculated

Most installment loans use a fixed monthly payment calculated with 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 ÷ 12), and n is the number of monthly payments (years × 12).

Example: A $20,000 loan at 8% annual interest over 5 years results in a monthly payment of about $405.53, with roughly $4,331 paid in total interest.

Fixed-rate vs. other loan types

This calculator assumes a fixed interest rate and equal monthly payments, which covers most auto, personal, and student loans. For a home purchase specifically, use our Mortgage Calculator, which adds property tax and insurance. To see a full payment-by-payment breakdown, try the Amortization Calculator.

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