Personal Loan Calculator
Calculate your monthly payment, total interest, and total cost for a personal loan. Compare different amounts, rates, and terms.
Quick Answer
A $15,000 personal loan at 10.5% for 36 months costs about $488/month. You'll pay roughly $2,570 in total interest, making your total cost $17,570.
Loan Details
Yearly Amortization Summary
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $4,487 | $1,363 | $10,513 |
| 2 | $4,982 | $869 | $5,531 |
| 3 | $5,531 | $320 | $0 |
About This Tool
The Personal Loan Calculator helps you understand the true cost of borrowing before you commit. Enter your loan amount, interest rate, and term to instantly see your monthly payment, total interest paid, and overall cost. The yearly amortization summary shows how your payments split between principal and interest over time.
How Personal Loan Payments Work
Personal loans are installment loans with fixed monthly payments over a set term. Each payment includes both principal (reducing what you owe) and interest (the lender's fee). Early in the loan, most of your payment goes to interest. As the balance decreases, more goes toward principal. The payment stays the same — only the split changes.
Factors That Determine Your Rate
Your interest rate depends primarily on your credit score, income, and debt-to-income ratio. Excellent credit (750+) typically qualifies for 6-10%. Good credit (700-749) sees 10-15%. Fair credit (650-699) often lands at 15-25%. Below 650, rates can exceed 25-36%. Secured personal loans (backed by collateral) may offer lower rates. Shopping multiple lenders and getting prequalified helps you find the best rate without multiple hard inquiries.
Choosing the Right Loan Term
Shorter terms mean higher monthly payments but significantly less total interest. A $20,000 loan at 10% costs $645/month over 36 months ($3,230 total interest) versus $425/month over 60 months ($5,500 total interest). That lower monthly payment costs you an extra $2,270. Pick the shortest term you can comfortably afford — your wallet will thank you in the long run.
Common Uses for Personal Loans
People use personal loans for debt consolidation (combining high-interest credit cards into one lower-rate payment), home improvements, medical expenses, moving costs, and major purchases. They're generally not recommended for discretionary spending, vacations, or investments since you're paying interest on borrowed money. If you're consolidating debt, make sure the personal loan rate is actually lower than what you're currently paying.