By ToolzHive
About this tool
The personal loan calculator shows your monthly payment, the total interest you will pay and the real cost of the loan. Many personal loans charge an origination fee that is taken out of the money you receive; the calculator includes it and works out the loan's true APR, so you can compare offers from different lenders fairly.
How to use Personal Loan Calculator
- Enter the loan amount, interest rate and term in years or months.
- Add the origination fee as a percentage of the loan.
- Compare the monthly payment, the amount you receive, total interest and the APR with other offers.
Worked example
A $15,000 loan at 11% for 3 years costs about $491 a month and $2,680 in interest. With a 3% origination fee you receive only $14,550, which pushes the true APR to about 13.1%.
What is an origination fee?
It is a one-time charge for processing the loan, usually 1–8% of the amount, often deducted before the money reaches you. It raises the true cost of borrowing.
What is the difference between interest rate and APR?
The interest rate only covers interest. APR also includes upfront fees spread over the loan, so it shows the full yearly cost and is the better number for comparing loans.
Can I pay a personal loan off early?
Many lenders allow it without penalty, which saves interest, but some charge prepayment fees. Check the terms before you sign.
Put this guide into practice
- Personal Loan Calculator — Calculate personal loan payments, total interest and the true APR with fees.