Loan Calculator

Calculate monthly payments, total interest, and view the full amortization schedule.

$
%

Monthly Payment

$1,580.17

Total Payment

$568,861

Total Interest

$318,861

Payment Breakdown

Principal: $250,000 (43.9%)
Interest: $318,861 (56.1%)

Common loan types

Loan TypeTypical TermTypical RateNotes
Mortgage15-30 years6-8%Secured by property
Auto Loan3-7 years5-10%Secured by vehicle
Personal Loan1-7 years8-20%Unsecured, credit-based
Student Loan10-25 years4-8%Federal or private

Frequently Asked Questions

How is the monthly payment calculated?

Using the standard amortization formula: M = P × [r(1+r)^n] / [(1+r)^n - 1], where P is principal, r is monthly rate, and n is number of payments. This ensures equal payments throughout the loan term.

Why do I pay more interest at the start?

Interest is calculated on the remaining balance. Early payments go mostly to interest because the balance is highest. Over time, more of each payment goes to principal as the balance decreases.

Should I choose a 15-year or 30-year mortgage?

15-year loans have higher monthly payments but much lower total interest. 30-year loans are more affordable monthly but cost more overall. Choose based on what you can comfortably afford.

How can I reduce total interest paid?

Make extra payments toward principal, choose a shorter term, or refinance to a lower rate. Even small extra payments early in the loan can save thousands in interest.

What is an amortization schedule?

A table showing each payment broken down into principal and interest, plus the remaining balance. It shows exactly how your loan gets paid off over time.

Related Tools