Estimate monthly payments, total interest and the overall cost of borrowing.
Change the inputs to see an illustrative repayment estimate.
Illustrative monthly principal and interest payment
Illustrative calculation only. Actual loan terms, fees and repayment schedules vary by lender and product.
Each year, more of the repayment can go toward reducing principal as the outstanding balance falls.
A fixed-rate loan payment combines interest and principal. Interest is calculated on the outstanding balance, so the balance generally falls faster as more of each payment goes toward principal over time.
This calculator assumes a fixed annual interest rate, monthly payments and no additional fees or borrowing. The result is an illustration rather than a lender quote.
The calculator estimates a fully amortizing loan with equal monthly payments. It converts the annual rate to a monthly rate and uses the principal, rate and number of monthly payments to calculate the installment. At a zero interest rate, principal is divided evenly across the payment months.
Total paid is the monthly payment multiplied by the number of months; estimated interest is total paid minus the original principal.
This is a principal-and-interest estimate. It excludes lender fees, insurance, taxes, variable-rate changes, late charges and any balloon payment. Compare the result with the lender's formal disclosure and repayment schedule, and confirm whether its quoted rate uses the same basis.
