A loan calculator is a tool that computes monthly payment, total interest, and payoff date for installment loans using principal, APR, and term.

How to Calculate Loan Payment

1. Enter the loan amount (principal)
2. Input the annual interest rate (APR)
3. Choose the loan term in months or years
4. Add any extra monthly payment to see payoff acceleration
5. Review monthly payment and total interest

The Loan Payment Formula

M = P[r(1+r)^n]/[(1+r)^n-1] with P=principal, r=APR/12, n=months

Where: symbols follow the inputs and conventions used in this calculator (principal, rates, terms, or units as labeled).

Real-World Example

A $15,000 loan at 12% APR for 5 years costs about $333/month and $5,000 in total interest.

Quick Reference

How to calculate Loan Payment?

Enter the loan amount (principal) Input the annual interest rate (APR) Choose the loan term in months or years Add any extra monthly payment to see payoff acceleration Review monthly payment and total interest

What is the formula for Loan Payment?

M = P[r(1+r)^n]/[(1+r)^n-1] with P=principal, r=APR/12, n=months

Can you give a real-world Loan Payment example?

A $15,000 loan at 12% APR for 5 years costs about $333/month and $5,000 in total interest.