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  1. Home
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  3. Loan Calculator
Calculator

Loan Calculator

Calculate the monthly payment on any fixed-rate loan — mortgage, auto, student, or personal — from the principal, annual interest rate, and tenure. See total interest, total payment, and a full month-by-month amortization schedule.

Try:
Monthly Payment$391.32
Total Interest$3,479.38
Total Payment$23,479.38

Amortization Schedule

How To Use

  1. 1.Enter the loan amount (principal) you're borrowing.
  2. 2.Enter the annual interest rate your lender has quoted, as a percentage.
  3. 3.Enter the loan tenure and toggle between Years and Months, whichever matches your loan terms.
  4. 4.Your monthly payment, total interest, and total payment appear instantly and update as you adjust any field.
  5. 5.Scroll down to the amortization schedule to see exactly how much of each month's payment goes toward principal versus interest, and how your outstanding balance shrinks over time.
  6. 6.Copy the summary to your clipboard, download it as a text file, or share a link to this tool. Use Reset to return to the default example.

Examples

Auto loan ($20K, 6.5%, 5yr)
A typical car loan — moderate principal and rate over a common auto-loan tenure.
Mortgage ($350K, 6.8%, 30yr)
A long-tenure home mortgage — see how much of the early payments go toward interest.
Student loan ($35K, 5.5%, 10yr)
A federal-style student loan at a fixed rate over a standard 10-year term.
Personal loan ($10K, 11%, 3yr)
A smaller, shorter, higher-rate unsecured personal loan.

About Loan Calculator

How Fixed-Rate Loan Amortization Works

The vast majority of consumer loans — mortgages, auto loans, student loans, and personal loans — use a fixed-rate amortization structure: you pay one constant amount every month for the entire agreed term, calculated in advance so that by the final payment, both the principal you borrowed and all interest that accrued on it are exactly paid off. This predictability is precisely why lenders default to this structure: it lets borrowers plan one fixed monthly outflow into their budget for years or decades at a stretch, without needing to track a shifting repayment schedule or recalculate anything themselves as the loan progresses.

The Loan Payment Formula Explained

This calculator uses Payment = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the principal loan amount, r is the monthly interest rate (your annual rate divided by 12 months and by 100 to convert a percentage into a decimal), and n is the total number of monthly payments. This formula derives from the mathematics of a reducing-balance loan: each month, interest accrues only on the remaining outstanding balance, not the original principal, and the formula solves for the single fixed payment amount that exactly amortizes that shrinking balance down to zero over exactly n payments. Because it's the industry-standard formula, this calculator's results should match your lender's own quoted payment for the same principal, rate, and tenure.

Reading Your Amortization Schedule

Each row of the schedule represents one month's payment, split into how much went toward interest (that month's opening balance multiplied by the monthly interest rate) and how much went toward principal (the remainder of the fixed payment). The balance column shows what's still owed after that month's payment posts. Because interest is always calculated on the current, shrinking balance, the interest portion of each payment decreases every month while the principal portion correspondingly grows — even though the total payment amount itself stays constant across the entire schedule. This is why amortization is front-loaded with interest: a large loan's very first payment can be predominantly interest, while its final payment is almost entirely principal.

Comparing Loan Offers Effectively

The most practical use of a loan calculator is comparing real offers side by side rather than accepting the first quoted payment. Try the same principal and tenure across a couple of different rates you've been quoted, and look at the actual dollar difference in both monthly payment and total interest — small rate differences compound meaningfully over a long tenure like a mortgage. Similarly, try a couple of tenure lengths at the same rate to see the payment-versus-total-interest tradeoff directly: a shorter tenure raises the monthly payment but can save a substantial amount of total interest over the life of the loan. Making this tradeoff visible — rather than defaulting to whatever tenure a lender first suggests — is exactly what this calculator, and its full amortization schedule, is built for.

FAQs

This calculator works for any fixed-rate, fixed-term loan repaid in equal monthly installments — mortgages, auto loans, student loans, and personal loans all follow this same repayment structure, just with very different typical principal amounts, interest rates, and tenures. Enter your loan's actual principal, rate, and tenure, and this tool computes an accurate monthly payment and amortization schedule regardless of which specific loan category it belongs to, since the underlying math is identical across all of them.

This tool uses the standard fixed-rate loan amortization formula: Payment = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the loan principal, r is the monthly interest rate (your annual rate divided by 12 and by 100 to convert from a percentage), and n is the total number of monthly payments. This is the same formula used by virtually every bank, credit union, and loan calculator for computing a fixed monthly payment that fully amortizes — pays off to zero — both principal and all accrued interest by the end of the loan term. If your rate is 0% (an interest-free loan), the formula simplifies to a plain equal split: principal divided by the number of months.

That's exactly what a fixed-rate amortized loan is designed to do — the payment formula solves for the one constant monthly amount that will exactly pay off the entire loan, principal and all accumulated interest, over precisely the agreed number of months. Early on, your outstanding balance is largest, so a bigger share of each fixed payment covers interest; as the balance shrinks month by month, less interest accrues on it, so a growing share of that same fixed payment goes toward principal instead. The amortization schedule below the results makes this shifting split visible month by month, even though the total payment amount itself never changes.

An amortization schedule is a month-by-month breakdown of every payment, showing exactly how much of it went toward interest and how much toward principal, plus your remaining balance after that payment. It matters for a few practical reasons: it reveals how slowly principal actually reduces during the early years of a long-tenure loan (which is why paying extra toward a mortgage early can save a disproportionate amount of total interest), it's often needed for tax or accounting purposes since interest and principal portions are sometimes treated differently, and it simply gives you complete transparency into where your money goes every month instead of just a single opaque payment figure.

A longer tenure lowers your monthly payment (since the same total repayment is spread across more months) but increases the total interest you pay over the life of the loan, since interest keeps accruing on the outstanding balance for a longer stretch of time. A shorter tenure raises the monthly payment but meaningfully reduces total interest paid. This is one of the most important tradeoffs in loan planning — try a couple of different tenure lengths at the same rate in this calculator to see the exact dollar tradeoff between a smaller monthly payment and lower total interest cost.

Yes, often more than people expect — even a modest rate difference, say half a percentage point, compounds every single month across the full loan term, and over a long tenure like a 15- or 30-year mortgage that compounding adds up to a genuinely large difference in total interest paid, even though the monthly payment difference alone might look small. This is exactly why it's worth comparing the actual annual percentage rate (APR) across multiple lender offers for the same principal and tenure, rather than judging offers purely by their advertised monthly payment.

No — this calculator computes the pure loan payment based on principal, interest rate, and tenure only, following the standard amortization formula. Real-world loans, mortgages especially, often bundle in property taxes, homeowners insurance, private mortgage insurance, or one-time origination fees, none of which are part of the interest calculation itself. If your lender quotes an all-in monthly payment that includes any of these, it will be higher than the pure principal-and-interest figure this calculator produces — factor those additional costs in separately when comparing the true total cost of a loan.

Prepayment means paying extra toward your loan's principal beyond your regular scheduled payment, which immediately reduces your outstanding balance and therefore reduces the interest that accrues on it for every remaining month of the loan. Prepayment is most powerful early in a loan's life, precisely when the outstanding balance — and the interest accruing on it — is largest, which is why even a modest early prepayment on a long-tenure loan like a mortgage can meaningfully shorten the effective payoff time or reduce total interest paid. This calculator shows the standard schedule with no prepayment; evaluating a prepayment scenario requires recomputing the schedule with a reduced principal starting from the month the extra payment is made.

No — every calculation, including the full amortization schedule, runs entirely in your browser using plain JavaScript arithmetic. Nothing you enter is transmitted anywhere or stored on any server, which makes this tool safe to use with real loan figures you'd rather not send over a network — the entire computation happens locally on your device from the moment you type a number to the moment the result appears.

Both tools use the identical underlying amortization formula and will produce the same numeric result for the same principal, rate, and tenure — the difference is presentation and terminology. The EMI Calculator uses Indian Rupee formatting and 'EMI' terminology specific to how loan repayment is commonly discussed in India, while this Loan Calculator uses a more general, currency-neutral framing suited to mortgages, auto loans, student loans, and personal loans more broadly. Use whichever terminology and currency format matches your context.

Related Tools

Loan Calculator handles one specific fixed-rate loan repayment calculation. These related calculators cover other everyday finance math you'll often need alongside it.

EMI Calculator
CalculatorThe same amortization math with Indian Rupee formatting and EMI terminology.
Compound Interest Calculator
CalculatorSee compounding work in the other direction — growing savings rather than a loan balance.
Tip Calculator
CalculatorA quick everyday calculator for splitting a bill and adding a tip.
Percentage Calculator
CalculatorGeneral-purpose percentage math, useful for quick rate and fee calculations.