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Loan Calculator

Calculate monthly payments, total interest, and amortization for loans.

Loan Calculator computes the monthly payment, total repayment amount, and total interest for any installment loan β€” including personal loans, auto loans, student loans, and business loans. It uses the standard amortization formula to show exactly how your repayments are structured over time.

Enter the loan amount, annual interest rate, and loan term in months or years. The tool instantly displays the required monthly payment and a full amortization schedule showing how each payment is split between principal and interest β€” helping you visualize how the debt decreases over the life of the loan.

Use this calculator before taking on any debt to understand the true cost of borrowing. Comparing loans with the same principal but different rates or terms can reveal significant differences in total interest paid, helping you make more informed financial decisions.

Frequently Asked Questions

Code Implementation

def calculate_loan(principal, annual_rate, years):
    monthly_rate = annual_rate / 100 / 12
    n = years * 12
    if monthly_rate == 0:
        monthly_payment = principal / n
    else:
        monthly_payment = principal * (monthly_rate * (1 + monthly_rate) ** n) / ((1 + monthly_rate) ** n - 1)
    total_payment = monthly_payment * n
    total_interest = total_payment - principal
    return monthly_payment, total_interest

principal = 200000   # loan amount
annual_rate = 6.5    # interest rate %
years = 30           # loan term

payment, interest = calculate_loan(principal, annual_rate, years)
print(f"Monthly Payment: ${payment:.2f}")
print(f"Total Interest: ${interest:.2f}")

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