Before taking on any loan, it pays to know exactly what the monthly repayment will be and how much interest you will pay overall. A loan calculator turns a few inputs into a clear picture.
What drives your payment
Three factors set your monthly payment: the amount borrowed (principal), the interest rate, and the term in months. A longer term lowers the monthly payment but increases the total interest you pay over the life of the loan.
The amortisation formula
Loan calculators use a standard amortisation formula that spreads principal and interest evenly across every payment. Early payments are mostly interest; later ones are mostly principal.
Plan your borrowing
Enter the amount, rate and term to see your monthly payment, total cost and total interest instantly — then adjust the term to find a payment you are comfortable with.