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Loan Calculator

Calculate your monthly loan payment (EMI), total interest, and full amortization schedule. Works for personal loans, car loans, student loans, and more.

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Loan Calculator
EMI & amortization schedule
$
%
$
Monthly Payment (EMI)
$513
$25,000
Principal
$5,793
Total Interest
$30,793
Total Cost
Monthly EMI$513
Total Principal$25,000
Total Interest$5,793
Total Amount Paid$30,793
Interest Percentage23.2%
Payoff DateMay 2031
Payment Breakdown
📊 Principal vs Interest Over Time
⚖️ Term Comparison
Term Monthly EMI Total Interest Total Cost
📋 Amortization Schedule
PeriodEMIPrincipalInterestBalance

How to Use the Loan Calculator

Our loan calculator helps you understand the true cost of any loan before you sign. Enter the loan amount, annual interest rate, and loan term to get your monthly EMI instantly. You can also add extra monthly payments to see how much interest you can save. For home loans specifically, check our mortgage calculator. To compare investment growth alongside loan costs, try our compound interest calculator.

📐 EMI Formula Explained

The standard EMI formula is:

EMI = P × r × (1+r)^n / [(1+r)^n - 1]
  • P = Principal loan amount
  • r = Monthly interest rate (annual rate ÷ 12)
  • n = Total number of monthly payments

Example: $25,000 at 8.5% for 60 months → EMI = $513/month

💡 Tips to Save on Loan Interest

  • Shop around: Compare rates from multiple lenders — even 0.5% difference saves hundreds
  • Improve credit score: Higher credit score = lower interest rate
  • Make extra payments: Extra $100/month can save $1,000+ in interest
  • Shorter term: 36-month loan costs less total interest than 60-month
  • Prepay when possible: Reduces outstanding principal faster
  • Avoid fees: Watch for origination fees and prepayment penalties

🏦 Types of Loans

  • Personal Loan: Unsecured, 6%–36% APR, flexible use
  • Auto Loan: Secured by vehicle, 4%–20% APR, 24–84 months
  • Student Loan: Federal (4%–8%) or private (4%–15%)
  • Home Equity: Secured by home, lower rates, 5–30 years
  • Business Loan: SBA loans from 6%, up to $5M
  • Payday Loan: Very high APR (300%+) — avoid if possible

For home loans, use our dedicated mortgage calculator. For car purchases, try the auto loan calculator.

📊 Understanding Amortization

In the early months of a loan, most of your EMI goes toward interest. As you pay down the principal, more of each payment goes toward the loan balance. This is called amortization.

For example, on a $25,000 loan at 8.5% for 60 months:

  • Month 1: ~$177 principal, ~$177 interest
  • Month 30: ~$223 principal, ~$131 interest
  • Month 60: ~$309 principal, ~$44 interest

Use the amortization schedule above to see exactly how your payments are applied each month. You can also export it to CSV for your own records.

Frequently Asked Questions

Your monthly EMI is calculated using the formula: EMI = P × r × (1+r)^n / [(1+r)^n - 1]. Where P is the principal, r is the monthly interest rate (annual ÷ 12), and n is the number of months. Our loan calculator applies this formula automatically and also shows a full amortization schedule.
Most lenders require a minimum credit score of 580–600 for personal loans. For the best interest rates (below 10% APR), you typically need a score of 720 or higher. Some lenders offer loans for scores as low as 550 but at much higher rates.
A shorter loan term means higher monthly payments but significantly less total interest paid. A longer term reduces monthly payments but costs more in total interest. Use the term comparison table above to see the exact difference for your loan amount and rate. Our loan calculator shows all term options side by side.
Yes, most loans allow early payoff. However, some lenders charge a prepayment penalty (usually 1–3% of remaining balance). Always check your loan agreement before prepaying. Use the "Extra Monthly Payment" field in our calculator to see how much you save by paying more each month.
The interest rate is the annual cost of the loan principal only. APR (Annual Percentage Rate) includes the interest rate plus all fees (origination fees, closing costs, etc.). APR is the true cost of borrowing and is always higher than or equal to the interest rate. Always compare APRs when shopping for loans.

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