Personal Loan Calculator
Calculate monthly payments and total cost for personal loans used for debt consolidation, home improvement, or expenses.
Input Parameters
Results
Personal Loan Tips
Personal loans are typically unsecured (no collateral) with fixed rates and terms. Rates vary widely (6–36%) based on credit score. Compare APR (including origination fees) across multiple lenders before signing. Improving your credit score can save thousands.
What is the Personal Loan Calculator?
The Personal Loan Calculator is designed for unsecured consumer debt. Because personal loans don't use collateral (like a house or car), their interest rates are often higher. This tool helps you budget for those higher monthly payments.
How It Works (Formula)
The tool processes an installment loan algorithm. It takes the total borrowed cash, applies the annual percentage rate (divided into monthly increments), and factors it across a fixed duration (usually 2 to 5 years) to generate a static monthly bill.
$$ A = P \frac{r(1+r)^n}{(1+r)^n - 1} $$
Finds the fixed payment necessary to amortize the unsecured loan.
How to Use It
Enter the loan amount you are requesting from the bank. Input the APR they quoted you and the length of the loan in months. The tool will calculate your monthly payment and summarize the total interest you will pay.