Loan Calculator
Estimate monthly payments, total repayment and interest for a loan.
How to use Loan Calculator
Uses the standard amortising payment formula and assumes equal monthly payments. Actual dates, fees and promotional rates may differ.
Displayed values follow the definitions stated above.
Compare the monthly payment and total interest
A longer term can make the monthly payment look smaller while increasing the total interest. This calculator assumes equal monthly amortising payments so you can compare affordability and total cost together.
P is principal, r is the monthly rate and n is the number of monthly payments.
Recommended steps
- Enter the principal that will actually be repaid.
- Use the fixed rate or current expected annual rate.
- Change the term and compare both the monthly payment and total interest.
How to interpret the result
- Extending the term usually lowers the monthly payment but increases total interest.
- Payments on a variable-rate loan can change when the rate changes.
- Fees, insurance, payment holidays and early-repayment charges are excluded.
Frequently asked questions
What is an amortising loan?
It uses a level monthly payment made up of principal and interest. The split between them changes over time.
What happens when the rate is 0%?
The principal is divided equally by the total number of monthly payments.
Why can a lender quote a different payment?
Execution dates, day-count methods, fees, promotional rates and payment holidays vary by product.