Loan Calculator
Calculate the monthly payment, total interest and total cost for a loan or mortgage from the amount, interest rate and term.
Examples
Optional extras
Effective APR includes fees and points in the loan cash flow.
Amortization schedule (by year)
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Estimate your monthly payment
Enter the loan amount, annual interest rate, term, upfront fees and points to see the monthly payment, effective APR, total cost and full amortization schedule. Add optional extra payments, compare scenario A with scenario B including refinance costs, and check how many months lower payments take to recover scenario B’s fees.
Estimate a fixed-rate loan in three fields: amount, annual rate, term. The calculator returns the monthly payment, total interest, total paid and APR with points/fees included. Example: $250,000 at 6.5% for 30 years → $1,580.17 per month.
The math is the standard amortization formula M = P · r(1+r)ⁿ / ((1+r)ⁿ − 1), where r is the monthly rate (annual ÷ 12) and n the number of payments (years × 12). At 0% it degrades honestly to principal ÷ months, rounded up to the cent the way banks round statements — $250,000 over 360 months shows $694.45, not a repeating decimal.
Points and fees: 1 point = 1% of the loan amount, paid upfront. They raise your effective APR above the note rate — the APR figure here folds points and fixed fees into the true yearly cost so two offers can be compared on one number.
Boundaries, honestly stated: this models fixed-rate, fully-amortizing loans. It does not model variable rates, negative amortization, balloon payments or your lender’s exact day-count convention, and taxes/insurance escrows are outside the monthly figure. It is a mathematical estimate, not financial advice — confirm exact terms with your lender.
Published test vectors — each validated against the live tool: $250,000 · 6.5% · 30 y → monthly $1,580.17 · zero-rate $250,000 · 30 y → $694.45 (bank-style cent rounding) · negative amounts are rejected rather than producing negative payments. Last verified: 2026-08-12.
FAQ
How is the monthly payment actually calculated?
With the amortization formula M = P·r(1+r)ⁿ/((1+r)ⁿ−1): P = principal, r = annual rate ÷ 12, n = years × 12. For $250,000 at 6.5%/30 y: r = 0.0054167, n = 360, M = $1,580.17. At 0% it is simply P ÷ n rounded up to the cent.
What exactly is a point?
One point is 1% of the loan amount paid upfront to the lender, usually to buy a lower note rate. Two points on $250,000 = $5,000 at closing. Whether it pays off depends on how long you keep the loan — the APR here includes points so you can compare offers directly.
Why is the APR higher than the interest rate I typed?
APR spreads upfront costs (points, fixed fees) across the loan term on top of the note rate. Same note rate + higher fees = higher APR. If you enter no points and no fees, APR equals the note rate.
Does this include property tax and insurance?
No. The monthly figure is principal + interest only. Lenders often quote PITI (principal, interest, taxes, insurance) — add your local tax and insurance estimates on top to compare with a lender quote.
Can I trust this for my actual mortgage decision?
Treat it as an exact calculator for an idealized fixed-rate loan and a good comparison tool. Real offers add day-count conventions, escrow, PMI and rate locks. This page is math, not advice — verify final numbers on the lender’s official estimate.
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