Personal Loan Calculator
Personal loans are usually unsecured, fixed-rate installment loans. Some lenders charge an origination fee taken out of the loan amount, so compare the APR, which includes it. The sample rate and fee are placeholders — use the numbers on your loan offer.
Personal Loan calculator
Move the sliders or type your own numbers. Sample amounts and rates are placeholders — enter the figures from your lender’s Loan Estimate or offer.
📊 Principal and interest by year
Early payments are mostly interest; the principal share grows every year. Hover or tap a bar for details.
📅 Amortization schedule
Year-by-year summary — tap “+” to see every month. Download the full monthly schedule as a spreadsheet.
⚡ Extra payments — how much can you save?
Test a one-time extra payment, a fixed extra amount each month, or a yearly lump sum. Extra principal payments cut the balance that interest is charged on, so earlier ones save the most.
🔄 Refinance break-even
Enter a new rate, term and closing costs to see the new payment and how many months it takes to recover the costs.
⚖️ Compare loan offers side by side
Enter up to three offers. The best deal has the lowest total cost (interest plus fees), not necessarily the lowest rate or payment.
🏡 Affordability — how much can you borrow?
Lenders compare your monthly debt payments to your gross monthly income (debt-to-income, or DTI). This shows the payment your income supports at the DTI you choose.
ℹ️ About personal loan payments
Personal loans are usually unsecured, fixed-rate installment loans. Some lenders charge an origination fee taken out of the loan amount, so compare the APR, which includes it. The sample rate and fee are placeholders — use the numbers on your loan offer.
| Topic | Details |
|---|---|
| Type | Unsecured installment loan with fixed monthly payments (typical) |
| Origination fee | Charged by some lenders; the APR on your offer includes it |
| Prequalification | Many lenders show estimated rates with a soft credit check before you apply |
| Debt consolidation | Only saves money if the new APR and fees are lower than what you pay now |
Tips to lower your personal loan cost
- Use prequalification to compare offers without a hard credit inquiry.
- Compare APR and total cost, not only the monthly payment.
- Check for prepayment penalties before signing.
- Avoid borrowing more than you need.
📝 Documents you need and how to apply for a personal loan
- Verifiable income and a manageable debt load
- A credit profile that meets the lender’s minimum; better credit usually means a lower rate
- A valid bank account for funding and payments
- Government-issued photo ID and Social Security number
- Proof of income such as pay stubs, tax returns or bank statements
- Employment information
- Proof of address
- A list of the debts you plan to repay, if you are consolidating
How to apply, step by step
- Decide how much you need and check that the payment fits your budget.
- Use prequalification with a soft credit check to compare estimated rates.
- Compare APR, origination fee, term and any prepayment penalty.
- Submit the full application (this usually involves a hard inquiry).
- Review and sign the loan agreement; funds are usually sent to your bank account.
Some lenders fund quickly after approval; timelines vary. Every lender sets its own requirements, so confirm the list with the lender before you apply.
🧮 How a loan payment is calculated
Worked example
| Step | Value |
|---|---|
| Loan amount (P) | $15,000 |
| Monthly rate (r) | 12% ÷ 12 = 0.010000 |
| Payments (n) | 3 × 12 = 36 |
| (1 + r)n | 1.4308 |
| Monthly payment (principal & interest) | $498.21 |
| Total interest | $2,936 |
| Total of payments | $17,936 |
How the term changes the payment ($15,000 at 12%)
| Term | Payment | Total interest | Interest vs loan |
|---|---|---|---|
| 1 year | $1,332.73 | $993 | 7% |
| 2 years | $706.10 | $1,946 | 13% |
| 3 years | $498.21 | $2,936 | 20% |
| 4 years | $395.01 | $3,960 | 26% |
| 5 years | $333.67 | $5,020 | 33% |
| 7 years | $264.79 | $7,242 | 48% |
How the rate changes the payment ($15,000 for 3 years)
| Rate | Payment | Total interest |
|---|---|---|
| 11% | $491.08 | $2,679 |
| 11.5% | $494.64 | $2,807 |
| 12% | $498.21 | $2,936 |
| 12.5% | $501.80 | $3,065 |
| 13% | $505.41 | $3,195 |
Loan calculator FAQs
What is APR on a loan?
The annual percentage rate combines interest and certain fees into a single yearly cost, so offers can be compared. Lenders must disclose it under the Truth in Lending Act.
Does a personal loan affect my credit?
A hard inquiry can lower your score slightly; on-time payments can help build credit, and missed payments can hurt it.
What is amortization?
Amortization is paying off a loan with fixed payments over time. Each payment covers that month’s interest and reduces the principal; over time a larger share goes to principal.
Is the result exactly what my lender will charge?
It is a close estimate. Lenders may calculate interest daily, use a different first-payment date or round differently. Your loan documents and repayment schedule are final.
What is APR?
The annual percentage rate expresses the yearly cost of a loan, including interest and certain fees. Lenders must show it in their Truth in Lending disclosures.
Should I make extra payments?
Extra payments toward principal reduce total interest and can shorten the loan. Check that there is no prepayment penalty and that extra money is applied to principal.
What happens if I miss a payment?
You may owe a late fee, and lenders can report late payments to the credit bureaus, which can lower your credit score. Contact your lender early if you expect trouble paying.
Results are illustrations based on the numbers you enter, not a loan offer, pre-approval or financial advice. Loan terms, rates and fees vary by lender and borrower.