Personal-loan APRs commonly range from about 6% to 36%; short-term products can run far higher. Use the rate a lender actually quotes you for a precise figure.
Estimates only, based on a fixed-rate, fully-amortizing loan with equal monthly payments. Actual offers, fees, and payment schedules are set by the lender and may differ. This is not an offer of credit.
How the calculation works
This calculator uses the standard loan amortization formula, the same math a lender uses for a fixed-rate installment loan:
Monthly payment = A × ( r(1+r)n ) / ( (1+r)n − 1 )
Here A is the amount you borrow, r is your monthly interest rate (the APR divided by 12), and n is the number of monthly payments. Total interest is simply your monthly payment multiplied by the number of payments, minus the amount you borrowed.
APR vs. interest rate
The interest rate is the cost of borrowing the principal. The APR bundles the interest rate together with certain fees, so it reflects the fuller yearly cost of the loan. When you compare offers, compare APRs — it's the number that keeps a low "rate" with high fees from looking cheaper than it is. For more, see how to compare loan offers.
Quick Questions
How is a monthly loan payment calculated?
It uses the standard amortization formula, which spreads principal and interest evenly across the term so every monthly payment is the same. The inputs are the amount borrowed, the monthly interest rate (APR ÷ 12), and the number of monthly payments.
What is the difference between APR and interest rate?
The interest rate is the cost of borrowing the principal. APR includes the interest rate plus certain fees, so it reflects the fuller yearly cost of the loan and is the better number for comparing offers.
Does using this calculator affect my credit score?
No. The calculator runs entirely in your browser. It doesn't submit anything, doesn't pull your credit, and has no effect on your credit score.