Find the monthly payment on any fixed-rate loan, see the interest you'll pay, or work backwards to how much you can borrow.
The loan payment formula
Payment = P × i ÷ (1 − (1 + i)^−n)
P is the amount borrowed, i the monthly rate and n the number of payments. A $25,000 loan at 7% for 5 years has i = 0.07 ÷ 12 and n = 60, so the payment is $495.03 a month and the total interest is $4,701.80.
How much can I borrow?
Switch to "How much can I borrow?" and enter the monthly payment that fits your budget. The calculator runs the formula backwards: Loan = Payment × (1 − (1 + i)^−n) ÷ i.
Ways to pay less interest
- Shorter term: higher payments, much less interest.
- Extra payments: they go straight to principal. Check your loan has no prepayment penalty.
- Better rate: a higher credit score or a co-signer can lower your APR; compare a few lenders.
This calculator is for fixed-rate loans with equal monthly payments, such as most car, personal and student loans. For a home loan with taxes and insurance, use the mortgage calculator.
How we checked this
Before every update, this calculator is run in a real browser with these known answers, and it must match all of them:
- $25,000 at 7% for 5 years: $495.03/month ✓
- $495.03/month at 7% for 5 years borrows $25,000 ✓
Last checked October 26, 2026. Spotted something wrong? The math is done in your browser with the formula shown on this page, so you can check any result by hand.
Questions people ask
How is a loan payment calculated?
With the amortization formula Payment = P × i ÷ (1 − (1 + i)^−n). Each payment covers that month's interest first; the rest pays down the balance.
What's the payment on a $10,000 loan?
At 7% for 5 years, about $198.01 a month. At 7% for 3 years, about $308.77.
Does paying extra really help?
Yes. Extra money reduces the balance immediately, so you pay less interest every month after and finish sooner.
What's the difference between APR and interest rate?
The APR includes some fees on top of the interest rate, so it's a better way to compare loan offers. Use the APR here for the most realistic payment.