Loan Calculator
Enter the loan amount, annual interest rate and term to see your monthly payment and total interest instantly. Compare amortizing (equal payment), equal-principal and interest-only repayment, and view the full schedule.
| Type | 1st month | Total interest |
|---|
Prepayment penalty
How to use the loan calculator
- Enter the amount, annual rate and term in months (or tap a term button).
- Pick a repayment type; the comparison table shows all three side by side.
- Scroll down for the month-by-month amortization schedule, or open the prepayment section if you plan to pay early.
Amortization schedule
| # | Payment | Principal | Interest | Balance |
|---|
Ways to pay less interest
- Small rate cuts add up. On $300,000 over 30 years, 6% vs 5.5% saves about $34,000 in interest.
- Shorter terms cost less overall. A 15-year loan has higher payments but far less total interest.
- Extra principal payments reduce the balance that interest is charged on — check for prepayment penalties first.
Estimates for a fixed rate with monthly compounding, principal and interest only. Your lender’s figures may differ.
FAQ
How is a monthly loan payment calculated?
For a standard amortizing loan: payment = P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is the amount, r the monthly rate (annual rate ÷ 12) and n the number of months.
What is the monthly payment on a $300,000 mortgage at 6% for 30 years?
About $1,798.65 per month, with roughly $347,515 paid in interest over 30 years.
Equal payment or equal principal — which costs less?
Equal principal pays down the balance faster, so total interest is lower, but the first payments are higher. Equal (level) payments keep every month the same.
What is an interest-only loan?
You pay only interest each month and repay the whole principal at the end. Monthly payments are lowest, but total interest is highest because the balance never shrinks.
Why is my lender’s number slightly different?
Lenders may use actual days per month, different rounding, fees or escrow (taxes and insurance). This calculator shows principal and interest only, at a fixed rate.