Payment Calculator Estimate loan, credit card, mortgage, or lease payments — with amortization, payoff timelines, and cos...
Payment Calculator
Estimate loan, credit card, mortgage, or lease payments — with amortization, payoff timelines, and cost breakdowns.
Amortizing Loan**:
$$PMT = P \frac{r(1+r)^n}{(1+r)^n - 1}$$
→ Fixed payment, interest-heavy early, principal-heavy late.
Credit Card**:
Minimum = 1–3% of balance *or* $25 (whichever is greater). → At 20% APR, $5K balance → $150/mo min → **11 years, $4,800 interest**.
Lease**:
Monthly = Depreciation + Finance Fee + Tax Finance Fee = (Cap Cost + Residual) × Money Factor
⚠️ Avoid these costly mistakes:
- Credit card minimums** — Extends debt for decades; always pay *more* than minimum.
- Lease mileage overages** — $0.25/mile × 5,000 miles = $1,250 surprise bill.
- Precomputed interest loans** — Pay same interest even if paid early (common in subprime).
- Negative amortization ARMs** — Payment < interest → balance grows.
✅ Pro Tip**: For credit cards, use the **debt avalanche** (highest APR first) or **snowball** (smallest balance first) method.
| Type | Example | Payment | Total Interest |
|---|---|---|---|
| Auto Loan | $25K @ 7.2%, 60 mo | $500/mo | $5,000 |
| Credit Card | $5K @ 20%, $250/mo | $250/mo | $802 (24 mo) |
| Mortgage | $280K @ 6.8%, 30 yr | $1,824 P&I + $450 PITI | $387K |
| Lease | $40K, 55% res, 36 mos | $525/mo + tax | $0 equity |
📉 Rule of Thumb**:
- Loan payment ≤ 15% of take-home pay
- Debt-to-Income (DTI) ≤ 36% for mortgages
- Lease payment ≤ 10% of take-home pay
➡️ Loan
Auto, personal, student — see amortization and interest.
➡️ Credit Card
“How long to pay $5K at $250/mo?” — with interest total.
➡️ Mortgage
PITI payment (Principal, Interest, Taxes, Insurance).
➡️ Lease
Estimate monthly with residual, money factor, and fees.
Note: Assumes fixed rates, on-time payments, no prepayment penalties.