Loan Calculator: Calculate Monthly Payments & Interest | Free

A Enter your loan amount, annual interest rate, and loan term in years. The monthly payment is calculated using the standard amortization formula.

A Any fixed-rate loan: mortgages, auto loans, personal loans, student loans, business loans.

A Using the formula: M = P[r(1+r)^n]/[(1+r)^n-1], where P is principal, r is monthly rate, n is total months.

A Yes, completely free with no limits.

A A larger down payment directly reduces the principal loan amount. Since interest is calculated on the remaining principal balance, a smaller starting principal means you accrue less interest over the life of the loan. Use our loan calculator to compare scenarios: enter different down payment amounts to see how your monthly payments, and significantly, your total interest paid, decrease with a higher initial investment. This helps you save thousands over the loan term.

A To compare different loan terms, simply enter your desired loan amount and interest rate, then first input '15' for the loan term. Note the calculated monthly payment and total interest. Next, change the loan term to '30' and re-calculate. This allows you to quickly see the financial impact of a shorter term (higher monthly payment, much less total interest) versus a longer term (lower monthly payment, significantly more total interest) on your total cost and budget.

A No, this calculator is designed for fixed-rate loans only. Variable rates change over time, making it impossible to accurately predict future payments with a static calculation. You'd need to re-run the calculation each time the rate adjusts for an estimate. For accurate variable rate projections, consult directly with your lender.

A Extra payments chip away at the principal directly. Our calculator doesn't show this dynamically, but you can simulate it: reduce the loan amount by your extra payment total. For example, paying $100 extra monthly on a $300,000 mortgage at 6% over 30 years could save you over $40,000 in interest and shorten the term by years. Try reducing the principal and term manually to see the impact.