Monthly Loan Payment Calculator
- Enter the loan amount
- Annual interest rate
- Loan term in months
- Press the 'Calculate' button to get the required monthly payment amount.
Online Loan Calculator
The loan calculator allows you to calculate the loan amount, interest rate, monthly payment amount, or loan term online. Mortgages, auto loans, and other types of loans help us obtain necessary goods and services today while paying for them gradually. Without loans, many of us wouldn’t be able to purchase housing, cars, or afford higher education. Of course, loans come with a cost, and the exact amount depends on the type of loan, the lender, market conditions, your credit history, income, and many other factors. It is beneficial to compare multiple loan offers from different banks, and you should also pay attention to your credit rating. Borrowers with better credit profiles usually get the best interest rates.
All loans are either secured or unsecured. A secured loan requires collateral. For example, an auto loan is a secured loan, meaning if you fail to make payments, the lender can reclaim the car. Most personal loans are unsecured, meaning if you stop making payments on your phone that you bought with an installment plan or loan, they can't take it away from you—though we certainly don’t recommend doing that.
To evaluate different loan offers, you need a loan calculator. It can help you narrow down your search for a home or car by determining, for instance, how much you can afford to pay monthly. It can help you compare the cost of a loan and see how differences in interest rates can affect your payments. Using a loan calculator wisely can help you make the most efficient financial decision.
How to calculate the monthly loan payment formula
- PV – loan amount
- PMT – monthly payment
- i – annual interest rate
- n – loan term in months