Loan Calculator
Enter the loan amount, interest rate and term to see your monthly payment, the interest you pay and the APR. Below, the same loan over different terms and, if you like, another offer or paying cash.
Origination fee, balloon payment and other costs
Enter the loan amount, interest rate and term.
The APR includes the fees and costs you enter. Fixed monthly payments.
Compare with another offer
Enter the other offer's interest rate to compare them. The same loan amount is used.
Compare with paying cash
Enter the cash price to see what financing costs you.
Year-by-year amortization
Enter the loan amount, interest rate and term.
Results are estimates. Solvemis accepts no responsibility for the results obtained or for how they are used. Always double-check the result and talk to a qualified professional before making decisions.
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How it works
How to use it
- Enter the amount you will borrow, the interest rate and the term in years or months.
- If there is an origination fee, other upfront costs, a monthly charge or a balloon payment, open the options and add them: the APR includes them.
- You will see the monthly payment, interest, fees, total cost and APR.
- Below, the same loan from 2 to 8 years: the payment for each term and what it costs you.
- To decide, open “Compare with another offer” or “Compare with paying cash”.
How it is calculated
The payment is the standard amortizing payment: P · r / (1 − (1 + r)^−n), where r is the monthly rate (annual rate ÷ 12) and n the number of months; with a balloon, its present value is taken out first. The APR is the monthly rate at which what you receive (the loan minus upfront fees) equals everything you pay, times 12, as Regulation Z (Truth in Lending) requires.
Payment = P · r / (1 − (1 + r)^−n)
Sources
- Regulation Z, § 1026.22: Determination of annual percentage rate — Consumer Financial Protection Bureau
- Regulation Z, Appendix J: Annual percentage rate computations — Consumer Financial Protection Bureau
About this calculator
What it’s for
Before taking out a personal or auto loan there are three questions: what will I pay each month, how long should the loan be, and which offer is better. The calculator answers all three, plus one that is easy to forget: is financing worth it, or should I pay cash?
A $25,000 loan at 7% over 5 years costs $495.03 a month. You pay $4,702 in interest and $29,702 in total.
How long: payment versus cost
A longer term lowers the payment, but you pay for it in interest. That is what the bars below the result show, for the same loan:
| Term | Payment | What it costs |
|---|---|---|
| 3 years | $772 | $2,789 |
| 5 years | $495 | $4,702 |
| 8 years | $341 | $7,721 |
Going from 5 to 8 years saves you $154 a month but costs $3,019 more. Pick the highest payment you can comfortably afford, not the lowest one on offer.
The APR is what you compare
The interest rate is only part of the cost. The APR adds finance charges such as an origination fee and expresses everything as a yearly rate; lenders must disclose it under the Truth in Lending Act. The same $25,000 at 7% for 5 years is a 7% APR with no fees and a 7.85% APR with a 2% origination fee. Open “Compare with another offer” to run your own.
Balloon payments
Some dealers offer low payments by leaving a large balloon payment at the end. With $30,000 at 7% over 4 years:
- No balloon: $718.39 a month and $4,483 in interest.
- $12,000 balloon: $501.03 a month, but $6,050 in interest and $12,000 to pay at the end.
The payment drops because you repay less principal each month, which is why you pay more interest. Enter it in the options to see the real cost.
Finance or pay cash?
Open “Compare with paying cash” and enter the cash price and your down payment. You will see the total you would pay by financing and the difference. Dealers sometimes offer either low-rate financing or a cash rebate, not both: always compare the total, not just the monthly payment.
What the result does not include
- Insurance and add-ons you do not enter as costs.
- Variable rates: the calculator assumes a fixed rate.
- Late payments: they carry their own fees and interest.
All figures are estimates. Your lender’s Truth in Lending disclosure is what counts: always check against it and, if in doubt, talk to a qualified professional.
Frequently asked questions
What is the difference between the interest rate and the APR?
The interest rate is what you are charged on what you owe. The APR adds the finance charges, such as an origination fee, and expresses the total as a yearly rate, so it is the number to compare. A $25,000 loan at 7% over 5 years has a 7% APR with no fees and a 7.85% APR with a 2% origination fee.
Is 0% financing really free?
Not always. The dealer may charge fees, require add-ons or give a bigger discount to buyers who pay cash or bring their own financing. Enter any fees and compare the total with the cash price in “Compare with paying cash”.
Can I pay off the loan early?
Most personal and auto loans allow it, but some charge a prepayment penalty. The Truth in Lending disclosure you get before signing must say whether yours does.
How is the APR calculated?
Following Regulation Z: it finds the monthly rate at which the amount you actually receive (the loan minus upfront fees) equals all your payments, and multiplies it by 12.
Updated October 2, 2026
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