Personal Loan Calculator Estimate payments, total interest, and savings from debt consolidation — with realistic fees and...

Personal Loan Calculator

Estimate payments, total interest, and savings from debt consolidation — with realistic fees and early payoff planning.

Standard

Consolidation

Early Payoff

Compare Loans

Loan Amount ($)

APR (%)

Term (Months) 24 months 36 months 48 months 60 months

Origination Fee (%)

Credit Card

Auto Loan

Current Balance ($)

Remaining Term (Mos)

Current APR (%)

Lump Sum ($)

Extra $/Mo

Loan A: Amount ($)

APR (%)

Term (Mos)

Loan B: Amount ($)

APR (%)

Term (Mos)

$0

Monthly Payment

$0

Total Interest

$0

Total Cost

0.00%

Effective APR

Amortization Breakdown

How Personal Loans Work

A personal loan is an unsecured, fixed-rate installment loan — you receive a lump sum and repay in equal monthly payments over a set term.

Typical Terms (2025)**:

• Amount**: $1,000 – $50,000
• Term**: 12–84 months (36 most common)
• APR**: 6% (excellent credit) to 36% (fair/poor)
• Fees**: 1–8% origination fee (deducted from disbursement)

Example: $15,000 loan @ 12% APR, 36 months: • Monthly payment: **$502** • Total interest: **$3,072** • + 4.5% fee ($675) → **Effective APR = 13.4%**, total cost = **$18,747**

Red Flags to Avoid

⚠️ Watch for these risky features:

• Precomputed interest (Rule of 78s)** — front-loads interest → no savings for early payoff.
• Prepayment penalties** — rare, but some lenders charge 1–5% for early payoff.
• Balloon payments** — small payments for years, then huge lump sum due.
• Teaser rates** — low intro APR, then jumps (e.g., 5% → 25% after 6 mos).

✅ Always ask**:

• “Is this a simple interest loan?”
• “Are there prepayment penalties?”
• “Is the stated rate APR (includes fees) or interest rate only?”

When Consolidation Saves (and When It Doesn’t)

✅ Good for consolidation** if:

• New APR < weighted avg. of old debts
• Term ≤ longest existing debt
• Origination fee < interest savings

❌ Avoid if**:

• Extending 2-yr debt to 5 years → lower payment, higher interest
• Fee > 5% and savings < 12 months
• Using loan to fund new spending (debt spiral risk)

📊 Case Study**:

• Credit card: $6,000 @ 19.99% → $1,199/yr interest
• Auto loan: $4,000 @ 8.5% → $340/yr interest
• Personal loan: $10,000 @ 12% (36 mo) → $1,932 total interest
• → **Save $607** vs. paying separately

How to Use This Calculator

➡️ Standard

See full amortization for a new loan — includes origination fee impact.

➡️ Consolidation

Model combining multiple debts — see interest savings vs. status quo.

➡️ Early Payoff

Test lump sums (bonus, tax refund) or recurring extra payments.

➡️ Compare Loans

Side-by-side: monthly payment, total interest, effective APR.

You’ll get:

• Monthly payment
• Total interest + fees
• Effective APR (interest + fees)
• Amortization chart
• Early payoff savings

Note: Assumes fixed rate, fully amortizing loan. Does not model variable rates or compounding daily/weekly.