Formula
The payment depends on the loan amount, periodic interest rate, and number of payments.
Formula: P = L × r ÷ (1 - (1 + r)^-n)
Money / United States
Loan payment calculator
Enter the loan amount, annual interest rate, and term to estimate the monthly payment and total interest.
Calculate loan payment
Payment per period = loan payment for a fixed-rate loan
How much you borrow
APR for the loan
How long you will repay the loan
Default is monthly. This changes the payment schedule and chart.
Amortization table
The table below shows each payment period, how much goes to interest and principal, and the remaining balance.
| Period | Payment | Interest | Principal | Balance |
|---|---|---|---|---|
| Update the inputs to see the amortization schedule. | ||||
Assumptions
- Uses USD for the example
- Interest rate stays fixed for the full term
- Payments follow the selected repayment frequency
Quick example
A bakery borrows $10,000 to buy an oven and repays it over 5 years at 8% interest.
Monthly payment is about $203.
Total payment is about $12,166.
Total interest is about $2,166.
Common mistakes
- Confusing annual interest rate with monthly rate
- Forgetting that a 0% loan should divide principal by number of payments
- Ignoring fees or insurance that may be part of the real loan
Need help?
Read the full instructions and assumptions for this calculator.