Personal Loan Calculator
Calculate personal loan payments, total interest and a full amortization schedule for any amount, rate and term.
Personal Loan Calculator — input your values
What does this financial calculator do?
This personal loan calculator estimates the fixed monthly payment for any installment loan, whether it is for debt consolidation, a major purchase or an unexpected expense. It adds the origination fee to the loan amount so you can see the real cost of the credit.
Beyond the monthly payment, you get the total interest, the total amount repaid, a principal-versus-cost breakdown and a full amortization schedule. Add an extra monthly payment to see how quickly extra cash pays the loan down.
Formula and variables
Personal loans are amortized: each payment covers interest plus a growing share of principal.
| Symbol | Meaning |
|---|---|
| P | Loan amount borrowed |
| F | Origination fee (P × fee rate) |
| r | Monthly interest rate (annual rate ÷ 12) |
| n | Number of monthly payments |
| M | Monthly payment |
Worked example
You take a $15,000 personal loan at 9.9% APR for 36 months with a 2% origination fee.
- Origination fee: 2% of $15,000 = $300.
- Amount financed: $15,000 + $300 = $15,300.
- Monthly rate: 9.9% ÷ 12 = 0.825%.
- Monthly payment M ≈ $493.08.
- Total interest ≈ $2,451; total repaid ≈ $17,751.
Answer: Monthly payment ≈ $493.08 for 36 months.
Tips and common mistakes
Tips
- A lower APR saves more than a lower origination fee in most cases — compare the APR first.
- Three-year terms usually balance a manageable payment with reasonable total interest.
- If your credit score improved since you borrowed, refinancing a personal loan at a lower rate may be worthwhile.
- Ask lenders whether the origination fee is deducted from the funds you receive or added to the loan.
Common mistakes to avoid
- Quoting the payment on the amount borrowed instead of the amount financed including the fee.
- Signing for a longer term than you need just to lower the monthly payment.
- Ignoring origination fees, which can make a nominally cheaper loan more expensive.
Personal Loan Calculator — frequently asked questions
What is a good APR for a personal loan?
Rates vary widely: well-qualified borrowers can see APRs below 10%, while higher-risk borrowers may pay 25% to 36%. Compare offers — small rate differences matter over multi-year terms.
Do personal loans use simple or compound interest?
Most are amortized fixed-payment loans, and the interest is calculated on the remaining balance each month. As the balance falls, the interest portion of each payment falls too.
How does the origination fee affect my loan?
The fee is typically 1% to 8% of the loan amount and is either deducted from the funds you receive or added to the balance. This calculator adds it to the balance so your monthly payment reflects the full cost.
Can I pay off a personal loan early?
In most cases yes, and that stops future interest from accruing. A few lenders charge prepayment penalties, so confirm before signing.
Should I use a personal loan for debt consolidation?
It can work well when the loan APR is lower than your current credit card rates and you keep the cards paid off. Use this calculator to compare the total interest on both approaches.
What determines the rate I am offered?
Lenders consider your credit score, income, debt-to-income ratio and the loan term. Improving your credit score before applying can unlock materially better rates.