Amortized Loan Calculator
Calculate monthly payments and create an amortization schedule for any loan. Shows how each payment reduces principal and interest.
Remaining Balance Over Time
- Remaining Balance
Principal vs Interest
- Principal
- Interest
Amortized loan calculator
Formula
Monthly payment:
Where:
- M = monthly payment
- P = principal loan amount
- r = monthly interest rate (annual rate ÷ 12)
- n = total number of payments (loan term in months)
Worked example
Calculate the monthly payment for a $200,000 loan at 5% annual interest over 30 years (360 months):
- r = 5% ÷ 12 = 0.004167
- n = 30 × 12 = 360
- M = 200,000 × [0.004167(1.004167)³⁶⁰] / [(1.004167)³⁶⁰ - 1]
- M = 200,000 × 0.005368 / 1.647
- M = $1,073.64
How to use
- Enter the loan amount
- Enter the annual interest rate
- Enter the loan term in years
- Click "Calculate" to see the monthly payment
Amortization schedule
Each monthly payment consists of:
- Interest portion: Remaining balance × monthly rate
- Principal portion: Monthly payment - interest portion
The principal portion increases over time as the balance decreases.
Total cost
Common use cases
- Mortgage planning
- Auto loan calculations
- Personal loan estimates
- Debt payoff planning
- Refinance analysis
FAQ
Can I calculate for different terms? Yes, change the loan term to see how it affects the payment.
How do extra payments help? They reduce the principal faster, lowering future interest and shortening the loan term.
What about bi-weekly payments? Paying half the monthly payment every two weeks results in one extra payment per year, speeding up payoff.
Can I calculate an interest-only loan? No, this calculator is for fully amortizing loans.
How does credit score affect the rate? Higher credit scores typically qualify for lower interest rates.