Personal loan calculator: payment, total interest and how much you can borrow
Three ways to run the numbers before you request a loan: by amount, by the monthly payment you can afford, or by the debts you want to consolidate. Estimates use the 5.99%–35.99% APR range lenders in our network offer.
Loan calculator
Rule of thumb: keep the payment under 10–15% of your monthly take-home pay.
Amortization schedule for the loan above
| Month | Payment | Interest | Principal | Balance |
|---|
Monthly payments at a glance
Estimated at 24.99% APR, the mid-point of our network's range. For a full breakdown by credit tier, see loan amounts compared.
| Amount | 12 months | 24 months | 36 months | Interest (24 mo) |
|---|---|---|---|---|
| $500 | $47.52 | $26.68 | $19.88 | $140.40 |
| $1,000 | $95.04 | $53.37 | $39.75 | $280.80 |
| $1,500 | $142.56 | $80.05 | $59.63 | $421.19 |
| $2,000 | $190.08 | $106.73 | $79.51 | $561.59 |
| $2,500 | $237.60 | $133.42 | $99.39 | $701.99 |
| $3,000 | $285.12 | $160.10 | $119.26 | $842.39 |
| $4,000 | $380.16 | $213.47 | $159.02 | $1,123.18 |
| $5,000 | $475.20 | $266.83 | $198.77 | $1,403.98 |
What the calculator is doing
Personal loans are amortized: a fixed payment each month, with interest charged on the remaining balance. Early payments are mostly interest; later ones are mostly principal.
P = amount · r = APR ÷ 12 · n = months
APR vs. interest rate
APR includes required fees such as an origination fee, spread over the term. Two loans with the same interest rate can have different APRs; always compare APR to APR.
Why the term matters more than it looks
Stretching a $2,000 loan from 24 to 36 months lowers the payment by about $27 but adds roughly $300 in interest. If the shorter payment fits, it is almost always the better deal.
How to read your results
- The purple share of the bar is principal (money you actually get); the cyan share is interest (the cost).
- Lenders usually want your new payment to keep total monthly debt under about 45% of gross income.
- In the budget tab, the amount shown is the most a lender at that APR would extend for your payment; real offers may be lower.
- In the consolidation tab, savings compare the new loan's total cost with paying each balance at its current APR over the same term.
- Origination fees reduce the cash you receive or increase the amount financed; both raise the APR.
Calculator questions
How the estimates are made and how to use them when comparing offers.
How is the monthly payment on a personal loan calculated?
Personal loans use amortization: payment = P × r ÷ (1 − (1 + r)^−n), where P is the amount, r is the monthly rate (APR ÷ 12) and n is the number of months. Each payment covers that month's interest first and the rest reduces the balance, so interest shrinks over time.
What is the difference between interest rate and APR?
The interest rate is the cost of borrowing the principal. APR adds required fees such as an origination fee and spreads them over the term, so it is the truer measure of cost. Lenders must show the APR before you sign, and it is the number to compare between offers.
How much can I borrow with a $150 monthly budget?
At 24.99% APR, about $2,811 over 24 months or $3,773 over 36 months. Use the 'By monthly budget' tab to test your own number; keep the payment under roughly 10–15% of take-home pay.
Does a longer term always cost more?
Yes in total interest, even though the monthly payment is lower. A $2,000 loan at 24.99% APR costs about $562 in interest over 24 months and about $862 over 36 months. Choose the shortest term whose payment fits your budget.
Is this calculator an offer or a quote?
No. It is an estimate at rates lenders in our network commonly offer (5.99%–35.99% APR). Your actual rate depends on your credit, income, amount, term and state, and is shown by the lender before you sign.
Does using the calculator affect my credit?
No. The calculator runs in your browser and does not collect or send any information. Checking loan offers through True Finance uses a soft inquiry that does not affect your score; a hard inquiry only happens if you accept a loan.
Can I include an origination fee in the estimate?
Yes. Origination fees are already reflected in a lender's APR. To model one manually, add the fee percentage to the amount financed or pick a slightly higher APR tier; the debt consolidation tab lets you enter a fee percentage directly.
Turn the estimate into real offers
Request the amount you modeled and see actual APRs from lenders licensed in your state. Free to check, no obligation.