Financial Calculators
Personal Loan Calculator

Personal Loan Calculator

After factoring the fees, insurance, and interest of a personal loan, this free personal loan calculator computes the monthly payment, true loan cost, and Annual percentage rate (APR).

Personal Loan

Monthly Payment: $207.58

Total of 60 Payments: $12,454.80

Total Interest: $2,455.07

Payoff Date: Dec 2027




1 yr

2 yr

3 yr

4 yr

5 yr

1 Dec 2023 $832.70 $1,658.26 $8,341.74
2 Dec 2024 $677.15 $1,813.81 $6,527.93
3 Dec 2025 $507.00 $1,983.96 $4,543.97
4 Dec 2026 $320.89 $2,170.07 $2,373.90
5 Dec 2027 $117.32 $2,373.64 $0.27
1 Jan 2023 $75.00 $132.58 $9,867.42
2 Feb 2023 $74.01 $133.57 $9,733.85
3 Marc 2023 $73.00 $134.58 $9,599.27
4 Apr 2023 $71.99 $135.59 $9,463.68
5 May 2023 $70.98 $136.60 $9,327.08
6 Jun 2023 $69.95 $137.63 $9,189.45
7 Jul 2023 $68.92 $138.66 $9,050.80
8 Aug 2023 $67.88 $139.70 $8,911.10
9 Sep 2023 $66.83 $140.75 $8,770.35
10 Oct 2023 $65.78 $141.80 $8,628.55
11 Nov 2023 $64.71 $142.87 $8,485.68
12 Dec 2023 $63.64 $143.94 $8,341.74
Year 1 End
13 Jan 2024 $62.56 $145.02 $8,196.73
14 Feb 2024 $61.48 $146.10 $8,050.62
15 Marc 2024 $60.38 $147.20 $7,903.42
16 Apr 2024 $59.28 $148.30 $7,755.12
17 May 2024 $58.16 $149.42 $7,605.70
18 Jun 2024 $57.04 $150.54 $7,455.16
19 Jul 2024 $55.91 $151.67 $7,303.50
20 Aug 2024 $54.78 $152.80 $7,150.69
21 Sep 2024 $53.63 $153.95 $6,996.74
22 Oct 2024 $52.48 $155.10 $6,841.64
23 Nov 2024 $51.31 $156.27 $6,685.37
24 Dec 2024 $50.14 $157.44 $6,527.93
Year 2 End
25 Jan 2025 $48.96 $158.62 $6,369.31
26 Feb 2025 $47.77 $159.81 $6,209.50
27 Marc 2025 $46.57 $161.01 $6,048.49
28 Apr 2025 $45.36 $162.22 $5,886.28
29 May 2025 $44.15 $163.43 $5,722.84
30 Jun 2025 $42.92 $164.66 $5,558.19
31 Jul 2025 $41.69 $165.89 $5,392.29
32 Aug 2025 $40.44 $167.14 $5,225.15
33 Sep 2025 $39.19 $168.39 $5,056.76
34 Oct 2025 $37.93 $169.65 $4,887.11
35 Nov 2025 $36.65 $170.93 $4,716.18
36 Dec 2025 $35.37 $172.21 $4,543.97
Year 3 End
37 Jan 2026 $34.08 $173.50 $4,370.47
38 Feb 2026 $32.78 $174.80 $4,195.67
39 Marc 2026 $31.47 $176.11 $4,019.56
40 Apr 2026 $30.15 $177.43 $3,842.13
41 May 2026 $28.82 $178.76 $3,663.36
42 Jun 2026 $27.48 $180.10 $3,483.26
43 Jul 2026 $26.12 $181.46 $3,301.80
44 Aug 2026 $24.76 $182.82 $3,118.98
45 Sep 2026 $23.39 $184.19 $2,934.80
46 Oct 2026 $22.01 $185.57 $2,749.23
47 Nov 2026 $20.62 $186.96 $2,562.27
48 Dec 2026 $19.22 $188.36 $2,373.90
Year 4 End
49 Jan 2027 $17.80 $189.78 $2,184.13
50 Feb 2027 $16.38 $191.20 $1,992.93
51 Marc 2027 $14.95 $192.63 $1,800.30
52 Apr 2027 $13.50 $194.08 $1,606.22
53 May 2027 $12.05 $195.53 $1,410.69
54 Jun 2027 $10.58 $197.00 $1,213.69
55 Jul 2027 $9.10 $198.48 $1,015.21
56 Aug 2027 $7.61 $199.97 $815.24
57 Sep 2027 $6.11 $201.47 $613.78
58 Oct 2027 $4.60 $202.98 $410.80
59 Nov 2027 $3.08 $204.50 $206.30
60 Dec 2027 $1.55 $206.03 $0.27
Year 5 End

There was an error with your calculation.

Table of Contents

  1. Personal Loans: What Are They?
  2. Personal Loans with Security
  3. Traditional Personal Loans
  4. Personal Loans from Peer-to-Peer (P2P) Lenders
  5. Why Take Out a Personal Loan?
  6. Try to stay away from predatory or fraudulent loans
  7. Creditworthiness and Personal Loans
  8. Application for a personal loan
  9. Fees for Personal Loans
    1. Prepayment fee
    2. Late payment fee
    3. Origination charge
  10. Alternatives to Personal Loans

Personal Loan Calculator

The Personal Loan Calculator can provide explicit visual representations of monthly payments and total expenditures during the life of a personal loan. Most personal loans include fees and/or insurance, so the ultimate cost may be greater than quoted. The calculator considers these factors when computing the loan’s actual annual percentage rate, or APR. Comparing loans using APR is likely to be more accurate.

Personal Loans: What Are They?

Personal loans have interest rates, fixed amounts, and monthly repayment amounts. They are not secured loans because they are not backed by collateral (such as a vehicle or a home). In the U.S., typical personal loans range from $5,000 to $35,000, with loan terms of three to five years.

Instead of collateral, lenders consider credit scores, income, debt level, and various other criteria when deciding whether to issue a personal loan and at what rate. Personal loans are typically bundled at significantly higher interest rates (as high as 25% or more). This reduces the risk of their unsecured nature, which the lender assumes.

Personal Loans with Security

Secured personal loans exist, despite their rarity. They’re commonly available at banks and credit unions with collateral such as a car, personal savings, or certificates of deposit. The amount of collateral the borrower is willing to provide usually determines the maximum limit of the loan. Borrowers who do not make timely payments on secured loans, such as mortgages and vehicle loans, risk losing the collateral.

The vast majority of Internet lenders provide only unsecured personal loans. While the Personal Loan Calculator works with unsecured personal loans, you may use it for secured loans if the inputs accurately represent the loan terms.

Traditional Personal Loans

Before the advent of the Internet, personal loans were usually provided by banks, credit unions, and other financial institutions. They can profit from this system by taking money from saving accounts, checking accounts, money market accounts, or certificates of deposit (CDs) and giving it away at higher interest rates. Pawnshops and cash advance stores also provide personal loans at high interest rates.

Personal Loans from Peer-to-Peer (P2P) Lenders

The Internet opened a new era of lending, dramatically altering the personal loan industry. Instead of applying for personal loans from traditional lending institutions, borrowers can turn to online financial service providers that connect them directly with lenders. Peer-to-peer lending, or P2P lending, is the name given to the entire process. The vast majority of these lenders are ordinary people with some spare cash.

Because of the comparatively low risk and low cost for P2P service providers, P2P borrowers typically issue loans with more helpful conditions. P2P service providers often operate only over the Internet. Running an online business is less expensive than managing a traditional bank or credit union.

P2P providers act as intermediaries, getting a tiny fraction of all transactions. They do not lend directly. When borrowers default, the lenders, not the P2P providers, bear the losses. Therefore, these service providers take relatively little risk.

Why Take Out a Personal Loan?

Interest rates on personal loans are frequently lower than those on credit cards. This makes them a good option for consolidating credit cards or other high-interest debt. Over half of all personal loans are used for debt consolidation. Before taking a personal loan for debt consolidation, you should carefully consider the fees.

Medical expenditures, house renovations, small company expansions, vacations, weddings, and other significant purchases are frequent reasons for personal loans. For comparative reasons, the fee including APR is a better reference than the interest rate.

Here are a few more particular instances of personal loan applications:

  • A person has a credit card with an $8,000 balance and an interest rate of 19.99%, as well as another credit card with a $7,000 balance and an interest rate of 24.99%. A P2P lender is willing to lend them $16,000 for five years at an interest rate of 12% and a 5% fee up front. The APR of this loan will be 14.284%. This is measurably lower than the interest rate on both credit cards. This person can use the personal loan to pay off credit card debt at a much lower interest rate.

  • A small business owner needs additional cash to pay for a promotional campaign for their organization that has a reasonable possibility of making a lot of money.

  • A poor but high-potential college student temporarily needs extra money to move to another area. They can have a promising career and start paying off their loans quickly.

Try to stay away from predatory or fraudulent loans

Unfortunately, there are predatory or dishonest lenders. An honest lender rarely makes an offer without obtaining credit information. And it would be best if you avoided lenders who make an offer without asking about your credit history.

Predatory loans are more likely to be marketed via mail or phone. This includes auto title loans, cash advances, no credit check, and payday loans. These loans typically have extremely high-interest rates, hefty fees, and short repayment timeframes.

Creditworthiness and Personal Loans

Individual creditworthiness is most likely the most crucial element affecting the approval of a personal loan. A decent or exceptional credit score is vital when looking for low-interest personal loans. Those with bad credit have few alternatives for getting a loan, and the loans they do get have high interest rates.

Defaulting on personal loans, such as credit cards or any other loan signed with a lender, can harm a person’s credit score. Lenders that look beyond credit ratings use different variables, such as debt-to-income ratios, consistent job history, etc.

Application for a personal loan

Borrowers may submit online applications to several lenders. The application procedure is typically very basic. Lenders often want basic personal, work, income, and credit report information to apply. Income tax records, recent pay stubs, W-2 forms, or a personal financial statement are potential sources of this information.

The lender evaluates and verifies the information after it is submitted. Some lenders decide immediately, while others take days or weeks. Applicants might be accepted, rejected, or conditionally accepted. In the latter case, the lender will only lend provided specific requirements are satisfied, such as submitting extra pay stubs or documentation on debts or assets.

Personal loans can be available 24 hours after approval, which makes them very useful when you need money immediately. Many lenders require an account to transfer private direct deposit loan funds. So, they must appear as a lump sum in the specified bank account when the initial application is submitted. Some lenders can mail cheques or fund prepaid debit cards. Make sure you stay within the contract’s legal bounds when using the loan money.

Fees for Personal Loans

Aside from the standard principal and interest payments paid on every loan, personal loans include several expenses.

Prepayment fee

This cost is only charged when a borrower pays off their loan early or makes early repayments. Prepayment fees on personal loans are becoming less prevalent.

Late payment fee

If you pay your loan late, you may be charged a fee. Depending on the lender, this cost might be fixed or calculated as a payment percentage. To avoid this, pay the bills on time. If you can’t pay on time, contact your lender ahead of time since some are ready to extend deadlines.

Origination charge

It is also known as an application fee. This money helps pay for the expenses of processing applications. It usually varies from 1% to 5% of the total loan amount. Some lenders demand the money upfront, whereas most deduct it after approval. With a 3% origination fee, a $10,000 loan will only provide $9,700 to the borrower (even though the payback is still $10,000).

Some lenders may require borrowers to buy personal loan insurance to cover circumstances such as death, incapacity, or job loss. Sometimes it can be helpful, but it is not required by law.

Alternatives to Personal Loans

Applicants should consider various choices before taking out unsecured personal loans or when no trustworthy source is willing to lend.

Those close to you might be willing to help during financial difficulties. Borrowing from them often comes with the benefit of lower or no interest rates.

Find assistance in cosigning a personal loan. A spouse, parent, guardian, family member, or close friend can be a cosigner. They should, however, have solid credit, a stable job, and be someone who would have been approved for a personal loan if they had applied. When a cosigner represents a private loan borrower, they do so at their own risk. If the borrower defaults, the cosigner handles the payments.

Use credit cards with no or low introductory rates. These credit cards are excellent for carrying debt each month without accruing interest for borrowers who want to pay them off later. This is a compelling reason to use them instead of personal loans. Avoid rollover fees and track when the credit card issuer’s interest-free term ends on the calendar.

Secure loans with existing assets like a house, vehicle, or valuable jewelry. Secured loans are less hazardous to most lenders than unsecured loans. They, therefore, are more ready to grant more significant loan amounts at lower interest rates.

A home equity credit line is a common technique to borrow large sums of money by pledging your home as security (HELOC). A failure to make payments on a HELOC might cause foreclosure. Please remember that lenders have the legal right to acquire possession of any signed collateral.

Nonprofit or religious groups in the community can be lifesavers for financially needy people.

Crowdfunding is an excellent approach to generating funds. There is no need to repay the money. However, effective crowdfunding is a complex process. Crowdfunding is frequently used by people who are starting new, promising businesses, requesting disaster assistance, or dealing with financial difficulties beyond their control. The public will not crowdfund anybody or anything unless they appreciate the person and believe in the project’s goal.