Money · Loans
Personal Loan Calculator
Find your monthly payment and total interest, and see what an origination fee really adds to the cost of borrowing.
Your result
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How to use this calculator
Enter the amount you want to borrow, the interest rate and the term from your loan offer. If the lender charges an origination fee, enter it and choose whether it's taken out of the money you receive (the most common setup) or added to the balance. The result shows your payment, total interest and an effective APR that includes the fee, so you can compare offers fairly.
How it's calculated
Effective APR = the rate at which your payments equal the cash you actually receive r = interest rate ÷ 12, n = number of monthly payments. If the fee is taken from the loan, you repay the full amount but receive less cash, which raises the effective APR.
Worked example
- Payment = $10,000 × 0.01 ÷ (1 − 1.01−36) ≈ $332.14/month
- Total interest ≈ $332.14 × 36 − $10,000 = $1,957
- You receive $9,500, so the loan costs $2,457 in all
- Effective APR including the fee ≈ 15.6%
Common questions
What is an origination fee?
A one-time charge some lenders take for processing a loan, often 1% to 10% of the amount. It's usually subtracted from the money you receive, so you may want to borrow a little more to end up with the cash you need.
Is a longer loan term cheaper?
A longer term lowers the monthly payment but usually raises total interest. Compare the "total interest" figure across terms to see the trade-off.
What's the difference between interest rate and APR?
The interest rate sets your payment. APR also folds in required fees, so it reflects the total yearly cost of borrowing. When comparing offers, APR is usually the fairer number.
Can I pay off a personal loan early?
Many lenders allow early payoff with no prepayment penalty, which can save interest. Check your loan agreement first.