Loan calculator
This free loan calculator works out the monthly payment on an annuity (equal-instalment) loan. Enter the loan amount, the annual interest rate and the term in months, and you'll see the monthly payment, the total cost of the loan and the total interest you'll pay. Whether you're planning a car, home-repair, business or consumer loan, it helps you size the budget before you commit.
How the calculation works
The payment uses the standard annuity formula: payment = amount × monthly rate / (1 − (1 + monthly rate)^−term). The monthly rate is the annual rate divided by 12. With an annuity, you pay the same amount every month, but early payments are mostly interest and later ones mostly principal. The total paid equals the payment times the number of months, and the total interest is the difference between that and the loan amount.
Worked example
Say you borrow 20,000 at 18% per year over 24 months. The calculator returns a payment of about 998; over 24 months the total paid is ~23,950 and total interest ~3,950. These figures exclude bank fees and insurance — check the real terms with your bank.
Frequently asked questions
What is an annuity loan?
A loan repaid in equal instalments. Early payments are mostly interest; later ones are mostly principal.
How accurate is the result?
It uses the annuity formula and is an estimate. Fees, insurance and late charges aren't included.
How do I enter the rate?
Enter the annual rate as a percentage (e.g. 18). The tool converts it to monthly.
What unit is the term?
Months. For a 2-year loan enter 24.
Is the tool free?
Yes — completely free and no signup.