Personal Loan Calculator
Free personal loan calculator — work out the fixed monthly payment, total cost, and total interest on an unsecured installment loan from amount, rate, and term in years. Runs in your browser.
Type the loan amount, the APR, and the term in years. The calculator returns the fixed monthly payment, the total amount you’ll pay over the life of the loan, and how much of that total is interest.
How a personal loan works
You borrow a lump sum and repay it in equal monthly installments over a fixed term, typically 2–7 years, at a fixed rate. Each month a constant amount comes out: at the start most of it is interest, by the end most of it is principal. The math is the standard amortizing-loan formula:
M = P × r(1 + r)^n ÷ ((1 + r)^n − 1)
with P = loan amount, r = monthly rate (APR ÷ 12 ÷ 100), and n = total months (years × 12).
Origination fees
Many lenders charge a 1–8% origination fee that’s deducted from the disbursement — borrow $10,000 with a 5% origination fee and you get $9,500 in your account, but you still owe $10,000 plus interest. To compare offers fairly, look at the lender’s APR (which includes the fee in the rate), not the headline interest rate. To model the real cost here, plug the gross loan amount in and use the APR.
Personal loan vs. credit card debt
If you’re carrying a balance on a credit card at 24% APR, a personal loan at 12% APR is mathematically a major win — provided you don’t run the cards back up. The fixed term is also a feature: it forces a payoff date, unlike a credit-card minimum payment that can stretch out for decades.
Worked examples
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$15,000 personal loan at 12% APR over 4 years
Monthly payment: $395.01 — total $18,960.36 over 4 years (interest: $3,960.36).
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$5,000 personal loan at 14% APR over 3 years
Monthly payment: $170.89 — total $6,151.97 over 3 years (interest: $1,151.97).
Frequently asked questions
How does a fixed-rate personal loan work?
You borrow a lump sum, then repay it in equal monthly installments over a fixed term — typically 2 to 7 years — at a fixed interest rate. The math is the standard amortizing-loan formula: M = P × r(1+r)^n ÷ ((1+r)^n − 1). Most personal loans are *unsecured* (no collateral), which is why their APRs are higher than a mortgage or car loan.
What about origination fees?
Many lenders charge a 1–8% origination fee that comes off the top of the disbursement — borrow $10,000 with a 5% fee, get $9,500 in your account, but still owe $10,000. To compare offers fairly, look at the **APR**, which includes the fee, not just the interest rate. To model the real cost in this calculator, use the gross loan amount and the APR.
Personal loan vs. credit-card balance?
Personal loan APRs (typically 8–25%) are usually well below credit-card APRs (often 20–30%+). Consolidating high-interest card balances into a fixed-rate personal loan can save real money, *if* you don't run the cards back up. The fixed term also forces a payoff date, which open-ended card debt doesn't.
Is there a prepayment penalty?
Usually no, but check. Most reputable US personal-loan lenders allow extra payments and full prepayment without penalty. Any extra principal you pay early in the loan shortens the term and saves a disproportionate amount of interest.
What credit score do I need?
Best rates (8–12%) go to scores in the high 700s+; mid-range (12–20%) to fair credit; above 25% APR usually means subprime offers. Some lenders publish their rate tiers; many also offer pre-qualification without a hard credit pull, which lets you compare real offers cheaply.