Personal Loan Calculator
Calculate your fixed monthly personal loan payment, evaluate origination fee treatments (deducted vs. financed), compare terms from 12 to 84 months, and explore extra payment savings.
Loan Parameters
Customize your loan amount, APR, term, and fees
Total loan principal requested from the lender.
Annual financing interest rate.
Repayment duration in months.
Percentage of requested loan deducted or financed.
Deducted from proceeds: The $300.00 is taken out of your cash disbursement. You receive $9,700.00 and repay the $10,000.00.
Optional monthly contribution toward early loan payoff.
Personal Loan Summary
Estimated monthly payment & borrowing metrics
Transparent Cost Breakdown
* Total borrowing cost equals all interest charges plus the origination fee. This is an informational dollar figure, not a legally disclosed APR.
How Fee Treatment Changes Your Loan
Factual comparison for a $10,000.00 personal loan at 10% APR over 36 months with a $300.00 origination fee.
| Metric | Deducted from Proceeds | Financed into Balance | Difference |
|---|---|---|---|
| Net Cash Received | $9,700.00 | $10,000.00 | +$300.00 |
| Starting Amount Financed | $10,000.00 | $10,300.00 | +$300.00 |
| Monthly Payment | $322.67/mo | $332.35/mo | +$9.68/mo |
| Total Interest Paid | $1,616.19 | $1,664.67 | +$48.48 |
| Total Scheduled Repayment | $11,616.19 | $11,964.67 | +$348.48 |
| Total Borrowing Cost (Interest + Fee) | $1,916.19 | $1,964.67 | +$48.48 |
Compare Monthly Payments & Total Interest Across Loan Terms
Evaluated for $10,000.00 amount financed at 10% APR.
| Loan Term | Monthly Payment | Total Interest | Total Borrowing Cost | Total Repayment | Action |
|---|---|---|---|---|---|
| 12 Months (1 Years) | $879.16/mo | $549.91 | $849.91 | $10,549.91 | |
| 24 Months (2 Years) | $461.45/mo | $1,074.78 | $1,374.78 | $11,074.78 | |
| 36 Months (3 Years)Selected | $322.67/mo | $1,616.19 | $1,916.19 | $11,616.19 | — |
| 48 Months (4 Years) | $253.63/mo | $2,174.04 | $2,474.04 | $12,174.04 | |
| 60 Months (5 Years) | $212.47/mo | $2,748.23 | $3,048.23 | $12,748.23 | |
| 72 Months (6 Years) | $185.26/mo | $3,338.60 | $3,638.60 | $13,338.60 | |
| 84 Months (7 Years) | $166.01/mo | $3,944.99 | $4,244.99 | $13,944.99 |
What If?
Change an input to see how the result changes.
What if you pay extra toward principal each month?
Explore how adding small monthly principal contributions accelerates your payoff date and slashes total interest charges.
Amortization Schedule
Detailed principal reduction, interest charges, and remaining balance over time
| Year | Principal Paid | Interest Paid | Total Payments | Ending Balance |
|---|---|---|---|---|
| Year 1 | $3,007.00 | $865.00 | $3,872.04 | $6,993.00 |
| Year 2 | $3,322.00 | $550.00 | $3,872.04 | $3,670.00 |
| Year 3 | $3,670.00 | $202.00 | $3,872.04 | $0.00 |
How Personal Loan Calculations Work
Personal loans are fixed-term installment loans governed by standard compound amortization schedules. When you borrow a fixed sum, each monthly payment is split into two components: interest owed on the outstanding balance, and principal repayment that reduces your remaining debt.
1. Fixed Monthly Payment Formula
Monthly principal and interest payments are calculated using the standard annuity payment formula:
- M = Fixed Monthly Payment
- P = Total Amount Financed (Principal)
- r = Monthly Interest Rate (Annual APR ÷ 12)
- n = Total Number of Monthly Installments
2. Origination Fees & Fee Treatments
Many personal loan lenders charge an upfront origination fee (typically 1% to 8%) to cover loan processing and risk assessment. How lenders apply this fee directly determines either your net cash proceeds or your total amount financed:
- Deducted from Proceeds: The fee is deducted from your cash disbursement. For example, on a $10,000 loan with a $300 fee, you receive $9,700 in cash, while your loan principal remains $10,000.
- Financed into Loan: The fee is added to your borrowed balance. You receive the full $10,000 in cash, but your loan principal becomes $10,300, and interest is accrued on $10,300 over the life of the loan.
3. Interest Rate vs. Total Borrowing Cost
APR (Annual Percentage Rate) reflects the annualized cost of borrowing credit, inclusive of mandatory upfront finance charges as defined by the federal Truth in Lending Act (TILA). In this calculator, Total Borrowing Cost represents the exact dollar sum of all interest paid plus the upfront origination fee, providing an unvarnished view of lifetime financing expenses.
Assumptions & Disclosures
- This calculator provides estimates for educational and budgeting purposes only.
- Actual loan terms, interest rates, and origination fees vary based on lender policies and individual creditworthiness.
- Calculations assume fixed interest rates compounded monthly and payments made on time each monthly cycle.
- The calculator does not constitute a loan offer or guarantee of credit approval.
- Actual APR disclosures provided by lenders follow regulatory TILA formulas which may include specific ancillary fees.
Frequently Asked Questions
Answers to common questions about personal loans, origination fees, and repayment strategies.
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A complete guide to personal loan math: how monthly payments are computed, the critical distinction between nominal rate and APR, and how to evaluate unsecured borrowing.
Understand what personal loan origination fees are, how they are deducted from loan proceeds, how they increase your true APR, and how to avoid overpaying.