Loan Repayment Calculator
Calculator Use
Use this calculator to determine 1) how extra payments can change the term of your loan or 2) how much additional you must pay each month if you want to reduce your loan term by a certain amount of time in months. Try different loan scenarios for affordability or payoff. Create amortization schedules for the new term and payments.
- Make Extra Payments
- Calculate how much your loan term and interest will change by applying extra money to your payments each month
- Reduce Term (Months)
- Calculate how much extra you need to pay each month in order to pay off your loan early
- Current Loan Balance
- the original amount on a new loan or principal outstanding if you are calculating a current loan
- Interest Rate
- the annual interest rate (stated rate) on the loan
- Remaining Term (Months)
- number of months which coincides with the number of payments to repay the loan. How much time is left on this loan.
- Current Monthly Loan Payment
- the amount currently to be paid on this loan on a monthly basis toward principal and interest only. You can likely look at your last statement to find the amounts applied to principal and interest and add these 2 numbers together. (payment = principal + interest)
- Monthly Extra
- the extra amount you plan to add to your monthly payments on this loan to be applied to principal
This calculator will provide good results but you may want to also talk to your loan provider to get a calculation from them.
Term Calculation
When investigating different payment amounts (loans with extra payments) you can use the following formula to calculate what your corresponding number of months on the loan will be:
where n = number of months, PMT = monthly payment, i = monthly interest rate as a decimal (annual rate divided by 100 divided by 12), and PV = loan balance (present value). log is the logarithm base 10.
Payment Calculation
When investigating different terms (months) you can use the following formula to calculate what your corresponding monthly payment amounts will be:
where n = number of months, PMT = monthly payment, i = monthly interest rate as a decimal (annual rate divided by 100 divided by 12), and PV = loan balance (present value).