Loan Calculator
Calculate monthly loan payments, total interest, and view amortization schedule. Supports equal payment and equal principal methods.
How is the monthly payment calculated?
For equal payment method, monthly payment is calculated using the amortization formula: M = P × [r(1+r)^n] / [(1+r)^n - 1]. For equal principal method, the principal portion is fixed at P/n each month, and interest decreases over time.
What is the difference between equal payment and equal principal?
Equal payment (annuity) keeps the same monthly payment throughout the loan. Equal principal pays a fixed principal amount each month, so payments start higher and decrease over time, resulting in less total interest.
What is an amortization schedule?
An amortization schedule is a table showing each payment broken down into principal and interest portions, along with the remaining balance.
Does this work for different loan types?
Yes, this calculator works for fixed-rate mortgages, auto loans, personal loans, and any loan with fixed monthly payments.
What is the difference between APR and interest rate?
The interest rate is the cost of borrowing the principal. APR includes the interest rate plus other fees and costs, giving a more complete picture.