Personal, auto & student loan payments.
Personal, auto & student loan payments.
Enter the loan amount, the annual interest rate (APR), and the repayment term in months. The calculator uses the standard loan amortization formula to compute your fixed monthly payment, total interest, and total repayment cost.
Typical rates vary by loan type: personal loans range from 6โ36% APR depending on credit score; auto loans average 5โ12%; federal student loans are fixed at rates set annually by the US government (currently 5โ8% depending on the program).
APR (Annual Percentage Rate) includes the interest rate plus any lender fees rolled into the loan. The stated interest rate is just the cost of borrowing โ APR reflects the true yearly cost. Always compare loans using APR, not just the interest rate.
Make extra payments toward principal when possible โ every extra dollar reduces the principal on which future interest is calculated. Even one extra payment per year on a 5-year loan can save 3โ6 months of payments and significant interest. Also shop multiple lenders: even a 1% rate difference on a $25,000 loan saves over $700.
Most lenders prefer your total monthly debt payments (including the new loan) to be under 36% of your gross monthly income. Going above 43% typically makes it difficult to qualify. Calculate your debt-to-income ratio by dividing total monthly debt by gross monthly income.