Updated · Built and checked by the PlinzoTools team, formulas tested against published sources
Calculate monthly payment, total cost, and total interest for any amortized loan.
$386.66
Nearly every fixed-rate installment loan -- personal loans, home equity loans, and any similar fixed-term borrowing -- uses the same amortization formula: a level monthly payment that combines interest and principal so the balance reaches exactly zero at the end of the term. This calculator is the general-purpose version of that formula, and also covers the identical "Personal Loan Calculator," "Amortization Schedule Calculator," and "Home Equity Loan Calculator" search intents, since all four are this exact same math.
Enter your loan amount (principal), annual interest rate, and term in years.
Monthly Payment = P × r ÷ (1 − (1 + r)−n)
where P = principal, r = monthly interest rate (annual rate ÷ 12), and n = number of monthly payments (years × 12)
Use this for any general fixed-rate loan -- personal loans, home equity loans, or debt consolidation loans. For loan-type-specific calculations that add real-world context (trade-ins, escrow, sales tax), see the Auto Loan Calculator or Mortgage Calculator instead.
The same principal can produce very different costs depending on the length of the term. Take a hypothetical $15,000 loan at 8%. Over 3 years, the payment is about $470.05, the total repaid is about $16,921.64, and the interest is about $1,921.64. Over 5 years, the payment falls to about $304.15, but the total repaid rises to about $18,248.75 and interest to about $3,248.75. The longer term cuts the monthly burden by roughly $166 but costs an additional $1,327 or so in interest. Which is better depends on your budget, and running both terms takes seconds.
In the first month of the 3-year loan above, interest is the balance times the monthly rate: $15,000 times 0.08 divided by 12 is $100. Of the $470.05 payment, only about $370.05 goes to principal. Each month the balance is a little lower, so the interest share shrinks and the principal share grows. This is why extra payments made early in a loan save more interest than the same extra amount paid near the end.
Results may differ by a few cents from a lender's schedule because of rounding or day-count conventions. For an actual borrowing decision, review the lender's official disclosure documents.
Amortized loans are structured so early payments cover more interest (since the balance is higher) and later payments cover more principal (since the balance is lower), while the total payment amount stays level throughout.
Yes -- an amortization schedule is just this same payment math applied month-by-month; the total figures shown here summarize what that full schedule would show.
Yes -- a home equity loan is a standard fixed-term amortized loan using this exact formula, distinct from a home equity line of credit (HELOC), which has a different draw/repayment structure.
It lowers the monthly payment but increases total interest. It can help cash flow, though a shorter term is cheaper overall if you can afford the payment.
Often yes, and it reduces the interest you owe. Check for prepayment penalties in your loan terms first.
Lenders may round differently, include fees, or start interest on a specific day count. Their disclosure is the authoritative figure.
The APR includes certain fees along with the interest rate, so it usually gives a fuller picture of borrowing cost than the rate alone.
Reference: Consumer Financial Protection Bureau