Overview

The Loan Interest Calculator computes monthly payments and total interest for equal payment (amortized), equal principal, and bullet repayment methods. Enter the loan amount, interest rate, and term to compare repayment schedules side by side.

Formula

Equal Payment Monthly = Principal × r × (1+r)^n / ((1+r)^n - 1), where r = monthly rate, n = number of payments. Equal Principal Monthly = Principal / n + Remaining Balance × r. Bullet = Principal × r (interest only).

How to Use

1. 1Enter the loan principal (amount borrowed).
2. 2Enter the annual interest rate (%).
3. 3Set the loan term in months.
4. 4Select the repayment method (equal payment, equal principal, or bullet).
5. 5Click Calculate to view monthly payments and total interest.

Tips

• ✔Equal payment (amortized) loans offer predictable monthly budgeting.
• ✔Equal principal repayment costs less total interest but has higher initial payments.
• ✔Check prepayment penalty terms — paying off early can save significant interest.

FAQ