Financial · Live
Personal Loan Calculator,
payment & true cost.
Calculate your monthly payment, total interest, and full amortization schedule for any fixed-rate unsecured personal loan. Factor in origination fees, model extra payments, and compare payoff timelines, all in real time.
Inputs
Loan details
Many lenders charge 1–8% upfront
Pay off faster
Add an extra principal payment each month to save interest and shorten your loan.
- Scheduled payment
- $498.21
- Payoff date
- May 2029
Monthly payment
36mo · 12% APR
Fixed-rate, fully amortizing: same payment every month.
Interest
16%
Balance over time
Remaining loan balance
Schedule
Monthly amortization
| Month | Payment | Principal | Balance |
|---|---|---|---|
| 1 | $498.21 | $348.21 | $14,651.79 |
| 2 | $498.21 | $351.70 | $14,300.09 |
| 3 | $498.21 | $355.21 | $13,944.87 |
| 4 | $498.21 | $358.77 | $13,586.11 |
| 5 | $498.21 | $362.35 | $13,223.76 |
| 6 | $498.21 | $365.98 | $12,857.78 |
| 7 | $498.21 | $369.64 | $12,488.14 |
| 8 | $498.21 | $373.33 | $12,114.81 |
| 9 | $498.21 | $377.07 | $11,737.74 |
| 10 | $498.21 | $380.84 | $11,356.90 |
| 11 | $498.21 | $384.65 | $10,972.26 |
| 12 | $498.21 | $388.49 | $10,583.77 |
| 13 | $498.21 | $392.38 | $10,191.39 |
| 14 | $498.21 | $396.30 | $9,795.09 |
| 15 | $498.21 | $400.26 | $9,394.83 |
| 16 | $498.21 | $404.27 | $8,990.56 |
| 17 | $498.21 | $408.31 | $8,582.25 |
| 18 | $498.21 | $412.39 | $8,169.86 |
| 19 | $498.21 | $416.52 | $7,753.34 |
| 20 | $498.21 | $420.68 | $7,332.66 |
| 21 | $498.21 | $424.89 | $6,907.77 |
| 22 | $498.21 | $429.14 | $6,478.64 |
| 23 | $498.21 | $433.43 | $6,045.21 |
| 24 | $498.21 | $437.76 | $5,607.44 |
| 25 | $498.21 | $442.14 | $5,165.30 |
| 26 | $498.21 | $446.56 | $4,718.74 |
| 27 | $498.21 | $451.03 | $4,267.72 |
| 28 | $498.21 | $455.54 | $3,812.18 |
| 29 | $498.21 | $460.09 | $3,352.09 |
| 30 | $498.21 | $464.69 | $2,887.39 |
| 31 | $498.21 | $469.34 | $2,418.05 |
| 32 | $498.21 | $474.03 | $1,944.02 |
| 33 | $498.21 | $478.77 | $1,465.24 |
| 34 | $498.21 | $483.56 | $981.68 |
| 35 | $498.21 | $488.40 | $493.28 |
| 36 | $498.21 | $493.28 | $0.00 |
Personal loan guide
Everything you need to know before you borrow.
A personal loan is a fixed-amount, fixed-rate installment loan that is typically unsecured, meaning no collateral is required. You borrow a lump sum, repay it in equal monthly payments over a set term (usually 12 to 84 months), and pay interest on the outstanding balance. Because there is no asset backing the loan, lenders rely heavily on your credit score and income to set the rate.
How monthly payments are calculated
Every personal loan payment is computed with the standard amortization formula. Each month, a portion covers the interest accrued on the remaining balance, and the rest reduces principal. Early payments are mostly interest; later payments are mostly principal.
Where M is the monthly payment, P is the loan principal, r is the monthly interest rate (APR ÷ 12), and n is the total number of monthly payments (term in months).
For example, a $15,000 loan at 12% APR over 36 months:
Over 36 months you pay $17,935.56 in total — $15,000 principal plus roughly $2,935 in interest.
APR vs. stated interest rate
The Annual Percentage Rate (APR) is the annualised cost of borrowing expressed as a percentage. For a simple personal loan with no fees, APR equals the nominal interest rate. When lenders charge an origination fee, the true APR is higher than the stated rate because you pay the fee upfront but owe and pay interest on — the full loan amount.
Always compare loans by APR, not stated rate. A loan with a 7% stated rate but a 5% origination fee may cost more than a loan at 10% with no fee, especially for shorter terms.
Origination fees: what they are and how they affect cost
An origination fee is a one-time charge deducted from your loan proceeds at disbursement. If you borrow $20,000 with a 3% origination fee, you receive $19,400 but must repay and pay interest on — the full $20,000.
Origination fees on personal loans typically range from 1% to 8%. Some lenders market "no-fee" loans but compensate with higher rates. Use this calculator's origination fee field to see the true cost side by side and decide which offer actually benefits you.
How your credit score determines your rate
Personal loan APRs vary enormously based on your creditworthiness. Borrowers with excellent credit can access rates below 10%; those with poor credit may face rates above 30%. The table below shows typical ranges from major lenders as of 2025:
| Credit tier | FICO score | Typical APR range | $15k over 36mo |
|---|---|---|---|
| Excellent | 720+ | 5.99–12% | ~$457–$498/mo |
| Good | 690–719 | 12–20% | ~$498–$558/mo |
| Fair | 630–689 | 20–30% | ~$558–$636/mo |
| Poor | <630 | 28–36%+ | ~$616–$682/mo |
Rates are illustrative estimates. Actual offers depend on lender, term, income, and debt-to-income ratio.
The power of extra principal payments
Because a personal loan accrues interest on the outstanding balance each month, every extra dollar you pay toward principal immediately reduces future interest charges. Consider the difference on a $15,000 / 12% APR / 36-month loan:
| Extra / month | Payoff | Total interest | Interest saved |
|---|---|---|---|
| $0 | 36 mo | $2,936 | — |
| $100 | 29 mo | $2,338 | $598 |
| $200 | 24 mo | $1,926 | $1,010 |
| $500 | 18 mo | $1,429 | $1,507 |
Always confirm with your lender that extra payments are applied directly to principal reduction: not credited toward future scheduled payments. The difference is significant: principal reduction cuts interest immediately, while prepaying future installments does not.
Debt-to-income ratio (DTI)
Lenders evaluate your debt-to-income ratio: the share of your gross monthly income consumed by recurring debt payments — alongside your credit score. Most personal loan lenders prefer a DTI below 36%. With a new loan, your DTI rises by the new monthly payment divided by gross monthly income.
If your gross monthly income is $5,000 and your current debt payments total $800 per month, your DTI is 16%. Adding a $498 personal loan payment brings it to about 26%, still within the preferred threshold for most lenders.
Best uses for a personal loan
A personal loan makes the most financial sense when the interest rate you qualify for is lower than the cost of alternative financing. The strongest use cases include:
- Debt consolidation. Rolling multiple high-rate credit card balances into one lower-rate personal loan can significantly reduce monthly payments and total interest, as long as you don't run up the cards again.
- Home improvement. For projects that don't qualify for a HELOC or when you prefer not to tap home equity, a personal loan avoids pledging your property as collateral.
- Medical or emergency expenses. A structured personal loan at 12–20% typically costs far less than medical payment plans, credit cards (avg ~21%), or payday loans.
- Large one-time purchases. Weddings, moving costs, major appliances, when you need a fixed lump sum and a clear payoff date.
How to compare personal loan offers
- Compare by APR, not monthly payment. A lender that stretches your term to lower your monthly payment can cost thousands more over the life of the loan.
- Account for origination fees. Enter each lender's principal and fee into this calculator and compare total out-of-pocket cost, not just the stated rate.
- Check for prepayment penalties. If you plan to make extra payments, confirm the lender allows them without a fee.
- Verify soft vs. hard credit pulls. Pre-approval checks are typically soft pulls (no credit impact); finalising an application is a hard pull. Apply only once you've chosen your lender.