Loan Calculator
Calculate monthly payments, total interest, and full amortization schedule for any loan.
e.g., 30 years = 360 months, 20 years = 240 months
Loan Repayment Types Explained
Equal Payment (Fixed Monthly Payment): You pay the same amount every month.
- Formula: M = P Γ [r(1+r)^n] / [(1+r)^n - 1]
- Pros: Predictable, consistent monthly budget
- Cons: More interest paid upfront; principal payoff is slow early on
Equal Principal: You repay the same principal each month; interest decreases over time.
- Pros: Lower total interest paid overall
- Cons: Higher initial payments; front-loaded cash flow burden
For long-term loans, equal principal generally saves more in total interest.
- Formula: M = P Γ [r(1+r)^n] / [(1+r)^n - 1]
- Pros: Predictable, consistent monthly budget
- Cons: More interest paid upfront; principal payoff is slow early on
Equal Principal: You repay the same principal each month; interest decreases over time.
- Pros: Lower total interest paid overall
- Cons: Higher initial payments; front-loaded cash flow burden
For long-term loans, equal principal generally saves more in total interest.