Loan calculator
This loan calculator shows how much a loan really costs over its term. Compare equal monthly payments (fixed installment / annuity) with decreasing payments (principal repaid in equal chunks, interest on the declining balance). Enter principal, annual interest rate (APR), and term to see payment amount, total interest, and total amount repaid.
Principal
Annual interest rate (%)
Years
Result
Monthly payment: 415.17
Total paid: 24910.03
Interest: 4910.03
How to calculate loan payments
1. Enter the loan amount (principal), APR, and term in months or years.
2. Choose equal payments (most consumer loans) or decreasing payments (some mortgages/business loans).
3. Review the first payment, last payment (if decreasing), and total interest.
4. Adjust rate or term to compare scenarios — small APR differences add up over long terms.
Loan calculation examples
€20,000 car loan, 6.9% APR, 5 years
Equal payments: ≈ €395/month; total interest ≈ €3,700; total repaid ≈ €23,700. Decreasing schedule: first payment ≈ €448, last ≈ €342; total interest ≈ €3,450 — less interest, higher early burden.
€150,000, 4.2% APR, 20 years
Equal payments: ≈ €926/month; total interest ≈ €72,200. Shortening to 15 years raises payment to ≈ €1,124 but cuts total interest to ≈ €52,300.
Reading APR vs nominal rate
If a lender quotes 5.0% nominal with fees rolled in, effective APR may be 5.4%. Always compare APR when shopping — this calculator uses the APR you enter as the annual rate.
When to use this tool
• When you compare auto, personal, or student loan offers before signing.
• When you decide between equal and decreasing payment structures.
• When you see how extra months of term inflate total interest.
When to choose something else
• When you need a legally binding amortization schedule from your bank.
• When loans have variable rates, balloon payments, or complex fee structures.
• When you need tax-deductible interest analysis — consult an accountant.
Total cost beats monthly payment alone
A longer term always lowers the monthly payment but raises total interest. A €25,000 loan at 7% costs about €495/month over 5 years (≈ €4,700 interest) vs about €396/month over 7 years (≈ €8,300 interest). Dealers and ads highlight the smaller number — this calculator shows the hidden cost. Compare total repaid, not just affordability of the installment.
Equal vs decreasing in practice
Consumer loans (cars, appliances) almost always use equal payments for predictable budgeting. Some European mortgages offer decreasing schedules popular with borrowers expecting rising income. Decreasing plans stress cash flow early; annuities smooth it. If two offers have the same APR and term but different structures, total interest still differs — run both modes here.
Frequently asked questions
What is the equal-payment (annuity) method?
You pay the same amount each period. Early payments are mostly interest; later ones mostly principal. Standard for most installment loans.
What are decreasing payments?
Principal is repaid in equal parts each period; interest is charged on the remaining balance, so payments shrink over time. Total interest is usually lower than annuity.
What is APR?
Annual percentage rate — the yearly cost of borrowing including certain fees, expressed as a rate. It lets you compare lenders on a common basis.
Does this include insurance or origination fees?
Only if you fold them into the principal or adjust the rate. Enter the net amount you borrow and the APR quoted on your offer.
Can I model extra principal payments?
This tool shows baseline schedules. Extra payments shorten term and cut interest — use your lender’s portal for precise prepayment modeling.
Is my data sent to a server?
No. Loan figures stay in your browser.
Is this tool free?
Yes. Unlimited scenarios, no account.