Amortization Calculator

An amortization calculator estimates how a loan is repaid through regular payments over time. It calculates the monthly payment, total interest, total amount repaid, expected payoff time, and a month-by-month loan schedule.

This type of calculator is useful for mortgages, auto loans, personal loans, refinancing plans, and other fixed-payment installment loans. Instead of showing only one payment amount, it explains how every payment is divided between principal and interest.

Loan amortization means gradually repaying a loan through scheduled payments. Each payment normally contains an interest portion and a principal portion.

At the beginning of the loan, the outstanding balance is high. This means more of the payment usually goes toward interest. As the remaining balance falls, the interest charge becomes smaller and a larger share of each payment reduces the principal.

The monthly payment may remain fixed, but the way it is divided changes over the life of the loan. This is why an amortization schedule is useful when planning long-term borrowing.

A standard fixed-rate amortizing loan uses a regular monthly payment that covers both interest and principal. The payment depends on the original loan amount, monthly interest rate, and total number of scheduled payments.

After the monthly payment is calculated, each month’s interest is based on the remaining loan balance. The amount left after interest is deducted reduces the principal.

Suppose you borrow $250,000.00 in USD at an annual interest rate of 6.5% for 30 years.

With the current calculator values, the estimated monthly payment is $1,580.17. The estimated total interest is $318,861.22, while the estimated total amount repaid is $568,861.22.

No extra monthly payment is currently included. Enter an additional amount above to compare a faster payoff strategy.

Extra monthly payments reduce the principal balance faster. Because future interest is calculated from the remaining balance, paying extra can reduce the total interest cost and shorten the payoff period.

Even a relatively small additional payment can create meaningful savings on a long-term loan. The effect depends on the interest rate, remaining balance, original term, and when the extra payments begin.

Change the extra monthly payment field at the top of the page and compare the updated payoff time, total interest, and complete amortization schedule.

An amortization schedule gives a complete month-by-month view of the repayment process. It shows how much of each payment reduces the balance and how much is charged as interest.

Borrowers can use the schedule to estimate the remaining balance at a future date, compare loan offers, plan refinancing, evaluate extra-payment strategies, and understand the long-term cost of borrowing.

The table can also help with budgeting because it shows the number of expected payments and how the balance changes throughout the loan term.

An amortization calculator can be used to explore many common borrowing situations.

This free amortization calculator is designed to estimate payments for fixed-rate installment loans. It uses the loan amount, annual interest rate, repayment term, and optional extra monthly payment to generate a payment summary and month-by-month amortization schedule.

You can use the calculator to compare mortgage, auto-loan, personal-loan, and refinancing scenarios in a wide range of currencies. Selecting a currency changes the displayed monetary unit but does not perform a foreign exchange conversion.

Saved scenarios remain in this browser and can be exported as CSV or TXT files without creating an account.

Results are educational estimates and may not match a lender’s official statement. Loan fees, payment timing, compounding conventions, taxes, insurance, variable rates, and lender rounding rules may change the actual repayment amount.