Personal Loan Calculator

Calculate monthly payments and total cost for personal loans

$0
Monthly Payment

About the Personal Loan Calculator

This personal loan calculator provides accurate monthly payment estimates including origination fees and APR. Personal loans are versatile and can be used for debt consolidation, home improvements, medical expenses, or major purchases. Personal loans are versatile financial tools used for debt consolidation, home improvements, medical expenses, weddings, or unexpected emergencies. This calculator includes origination fees and provides the APR, giving you the true cost of borrowing beyond just the interest rate.

How to Use This Calculator

  1. Enter the loan amount, interest rate, and term in months.
  2. Input the origination fee percentage charged by the lender.
  3. Click Calculate to see your monthly payment, total cost, and APR with amortization schedule.

The Formula

The calculator uses the standard amortization formula and iteratively solves for the APR that equates the loan amount with the net proceeds after fees.

M = P × [r(1+r)^n] / [(1+r)^n - 1]

Frequently Asked Questions

What is APR on a personal loan?

APR represents the true annual cost of borrowing including interest and fees. It is higher than the nominal interest rate and provides a better basis for comparing loan offers.

How does an origination fee affect my loan?

An origination fee is deducted from your loan proceeds, meaning you receive less than the loan amount while still paying interest on the full amount. This increases your effective APR.

What is a good interest rate for a personal loan?

Personal loan rates typically range from 6% to 36%. Rates below 10% are considered good for borrowers with excellent credit, while those with average credit may see rates between 10-20%.

How does an origination fee affect my loan?

An origination fee of 1-8% is deducted from your loan proceeds, meaning you receive less than the full loan amount. The APR calculation includes this fee, so it reflects the true cost of borrowing.

Can I pay off a personal loan early?

Most personal loans allow early repayment without penalty, but some lenders charge prepayment fees. Check your loan agreement before making extra payments.

What credit score is needed for a personal loan?

Most lenders require a minimum credit score of 580-640 for personal loans. Scores above 700 qualify for the best rates and terms. Some lenders offer secured personal loans for those with lower credit.

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