Free tool
Business loan payment calculator
Enter the loan amount, interest rate and number of years. See the monthly payment, total interest and what an extra monthly payment saves.
The loan
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How it works
How it works
The payment comes from the standard fixed-rate formula: amount times the monthly rate, divided by one minus the monthly rate raised to the negative number of months. The calculator then steps through each month to find total interest and how fast extra payments pay the loan down.
FAQ
About this calculator
How is a loan payment calculated?
The payment is set so equal monthly amounts pay off the balance and interest by the end of the term. The calculator uses the standard fixed-rate formula from the loan amount, annual rate and number of months.
What does an extra payment do?
It goes straight to principal, which lowers the balance faster and cuts the interest you pay. Check that your lender applies extra payments to principal and that there is no prepayment penalty.
Are fees and insurance included?
No. Origination fees, insurance and a rate that changes are not included, so the payment on your loan documents may differ.
Is anything saved?
No. The math runs in your browser and nothing you enter is sent to us.
Learn how a loan payment is calculated and how to record a loan in your books. More free tools: ROI and payback calculator, Debt-to-income ratio calculator, NPV, IRR and payback calculator, or see all free tools.
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General information, not tax or legal advice. How we write and check our tools.