Work out the monthly repayment on a loan before you apply. Enter the loan amount, the annual interest rate and the repayment term — the calculator shows your monthly instalment, the total interest and the total amount repayable.
The calculator uses the standard annuity formula. Your monthly payment is constant: it is the loan amount multiplied by the monthly interest rate, divided by one minus (one plus the monthly rate) to the power of minus the number of months. The monthly rate is the annual rate divided by 12. Results are indicative — the final APR, fees and approval depend on the lender.
The monthly repayment is calculated with the annuity formula: M = P · r / (1 − (1 + r)^−n), where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100) and n is the number of months. The result is a fixed monthly instalment.
It gives a precise mathematical estimate of the monthly payment for a given amount, rate and term. The exact cost of a real loan also depends on the lender’s APR, processing fees and your credit profile, so always check the final offer before signing.
