💳 Loan Calculator

Calculate monthly payments for any loan — personal, auto, student, or business. See your total interest, total cost, and monthly breakdown instantly.

Loan Amount ($)

Interest Rate (%)

Loan Term (years)

$495

monthly payment

$25,000

Loan Amount

$4,700

Total Interest

$29,700

Total Cost

How to Use This Calculator

Enter the Loan Amount — how much you are borrowing.
Enter the Interest Rate (APR) — the annual percentage rate offered by your lender.
Choose the Loan Term — longer terms mean lower monthly payments but higher total interest.
Click Calculate — see your monthly payment, total interest, and total cost of the loan.

Example: Financing a Used Car

You are financing a \$25,000 used car at 7% APR over 5 years.

🚗 The NumbersMonthly payment: \$495/month
Total interest: \$4,700
Total cost of the car: \$29,700
That means 16% of your total payment is interest.
If you could get 4% APR instead, you would save ~\$1,900 in interest.

Why Use This Calculator?

💳 Any Loan Type

Works for personal loans, auto loans, student loans, and business loans.

📊 Full Cost Visibility

See not just the monthly payment but the total interest you will pay over the life of the loan.

🔄 Compare Terms

Toggle between 1, 3, 5, 7, and 10 year terms to find the right balance.

🔒 Browser-Based

Calculator inputs stay on this device; advertising services may process separate usage data.

Common Mistakes

❌ Only looking at the monthly payment. A \$400/month payment over 7 years costs much more total than \$550/month over 4 years. Always check total interest, not just the monthly amount.

❌ Ignoring fees and origination charges. Many loans have origination fees (1-6% of the loan amount) that are deducted upfront. Your effective APR is higher than the stated rate when fees are included.

❌ Choosing the longest term by default. Lenders love 84-month auto loans because they earn more interest. You should love shorter terms because you pay less.

Frequently Asked Questions

What is a good interest rate for a personal loan?▼

As of 2026, excellent credit (720+) typically qualifies for 6-10% APR on personal loans. Good credit (660-719) may see 10-15%. Fair credit (600-659) often faces 15-25%. Rates below 6% are rare for unsecured personal loans. Auto loans and mortgages typically have lower rates because they are secured by collateral.

Should I choose a longer or shorter loan term?▼

Choose the shortest term you can comfortably afford. A 3-year loan at 7% on \$25,000 costs \$772/month but only \$2,800 in total interest. The same loan over 7 years costs \$377/month but \$6,700 in total interest — more than double. Shorter term = less total cost.

How does APR differ from interest rate?▼

APR (Annual Percentage Rate) includes the interest rate plus any fees (origination fees, closing costs, etc.). The interest rate is just the cost of borrowing. APR gives a more accurate picture of the total cost. Always compare APRs, not just interest rates, when shopping for loans.