Personal Loan Calculator
Estimate payment, interest, origination fees, net cash received, effective APR, and the effect of extra payments.
How the personal loan payment is calculated
The calculator treats the personal loan as a fixed-rate installment loan with equal monthly payments. The payment covers monthly interest first and then reduces principal.
P is the financed balance, r is the monthly rate, and n is the number of payments.
How origination fees change the result
A deducted fee reduces the cash you receive without reducing the contractual balance. An upfront fee is paid separately at origination. A financed fee increases the balance and creates interest on the fee. The effective APR estimate converts the payment stream and net cash received into an annualized rate so the fee effect is visible.
Extra monthly payments
The scheduled payment remains the contractual payment. The extra-payment comparison applies the entered additional amount directly to principal every month, estimates an earlier payoff, and compares interest with the original schedule. Confirm that the lender accepts extra principal without a prepayment charge.
Example
A $20,000 loan at 12% for 36 months has a scheduled payment of about $664 before fee financing. With a 5% fee deducted from proceeds, the borrower receives $19,000 but still repays the $20,000 balance, so the effective annualized cost is higher than the stated 12% rate.
Important limits
This estimate assumes a fixed rate, monthly compounding, and payments made on time. It excludes late fees, optional insurance, taxes, variable rates, lender-specific rounding, daily simple interest, and changes to the payment date. The effective APR is an estimate and may differ from the lender’s legally disclosed APR because disclosure rules and fee treatment vary.
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