Loan Calculator
Monthly payment with amortization schedule for any loan.
Monthly Payment
$477.53
Total Interest
$3,651.74
Total Paid
$28,651.74
| Month | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $477.53 | $362.95 | $114.58 | $24,637.05 |
| 2 | $477.53 | $364.61 | $112.92 | $24,272.45 |
| 3 | $477.53 | $366.28 | $111.25 | $23,906.16 |
| 4 | $477.53 | $367.96 | $109.57 | $23,538.21 |
| 5 | $477.53 | $369.65 | $107.88 | $23,168.56 |
| 6 | $477.53 | $371.34 | $106.19 | $22,797.22 |
| 7 | $477.53 | $373.04 | $104.49 | $22,424.18 |
| 8 | $477.53 | $374.75 | $102.78 | $22,049.43 |
| 9 | $477.53 | $376.47 | $101.06 | $21,672.96 |
| 10 | $477.53 | $378.19 | $99.33 | $21,294.76 |
| 11 | $477.53 | $379.93 | $97.60 | $20,914.83 |
| 12 | $477.53 | $381.67 | $95.86 | $20,533.17 |
| 24 | $477.53 | $403.20 | $74.33 | $15,814.37 |
| 36 | $477.53 | $425.94 | $51.59 | $10,829.39 |
| 48 | $477.53 | $449.97 | $27.56 | $5,563.22 |
| 49 | $477.53 | $452.03 | $25.50 | $5,111.19 |
| 50 | $477.53 | $454.10 | $23.43 | $4,657.09 |
| 51 | $477.53 | $456.18 | $21.34 | $4,200.90 |
| 52 | $477.53 | $458.27 | $19.25 | $3,742.63 |
| 53 | $477.53 | $460.38 | $17.15 | $3,282.25 |
| 54 | $477.53 | $462.49 | $15.04 | $2,819.77 |
| 55 | $477.53 | $464.61 | $12.92 | $2,355.16 |
| 56 | $477.53 | $466.73 | $10.79 | $1,888.43 |
| 57 | $477.53 | $468.87 | $8.66 | $1,419.55 |
| 58 | $477.53 | $471.02 | $6.51 | $948.53 |
| 59 | $477.53 | $473.18 | $4.35 | $475.35 |
| 60 | $477.53 | $475.35 | $2.18 | $0.00 |
Loan Calculator — What It Does
Enter a loan amount, annual interest rate, and term in years or months to instantly calculate your fixed monthly payment, total amount paid, and total interest cost. The full amortization schedule shows how each payment is split between interest and principal reduction over the life of the loan. Useful for mortgages, auto loans, personal loans, and student loans.
The Amortization Formula
Monthly payment M is calculated as:
M = P × [r(1+r)^n] / [(1+r)^n − 1]
- P — Principal loan amount
- r — Monthly interest rate (annual rate ÷ 12)
- n — Number of monthly payments (years × 12)
Example: $200,000 Mortgage
- Loan: $200,000 at 6.5% annual interest, 30-year term
- Monthly payment: $1,264
- Total paid over 30 years: $455,089
- Total interest: $255,089 (more than the original principal)
Ways to Reduce Total Interest Paid
- Make extra principal payments — Any payment above the minimum directly reduces the outstanding balance and shortens the loan term.
- Shorten the loan term — A 15-year mortgage has a higher monthly payment but pays far less total interest than a 30-year loan at the same rate.
- Secure a lower interest rate — Even a 0.5% rate reduction on a large loan can save tens of thousands of dollars over its life.
- Increase your down payment — Borrowing less means paying interest on a smaller principal balance from day one.
Frequently Asked Questions
- What is the formula used to calculate monthly loan payments?
- The standard amortization formula is: M = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the principal loan amount, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of monthly payments (years × 12). This gives a fixed monthly payment where each instalment covers both interest and principal.
- Why do early payments pay mostly interest?
- With a fixed amortizing loan, interest is calculated on the outstanding principal balance each month. At the start, the balance is highest, so the interest portion of each payment is largest. As you pay down principal over time, the interest portion shrinks and the principal portion grows — even though the total monthly payment stays the same.
- What is an amortization schedule?
- An amortization schedule is a table showing every payment over the life of a loan. Each row details: the payment number, total payment amount, how much goes to interest, how much reduces the principal, and the remaining balance after that payment. It lets you see exactly when you will be debt-free and how much total interest you will pay.
- How does a larger down payment affect my loan?
- A larger down payment reduces the principal amount you borrow, which lowers both your monthly payment and the total interest paid over the life of the loan. For example, on a $300,000 mortgage at 6% over 30 years, increasing the down payment from 10% to 20% saves roughly $45,000 in total interest.
- What is APR and how is it different from the interest rate?
- The interest rate is the cost of borrowing the principal, expressed as a percentage. APR (Annual Percentage Rate) includes the interest rate plus lender fees, origination charges, and other costs, expressed as a single annual rate. APR gives a more complete picture of the true cost of a loan and is required by law in many countries for consumer loan disclosures.