How to use the personal loan calculator
- Enter the loan amount you're applying for.
- Enter the interest rate and the term in months.
- Enter the origination fee (0 if there's none) and whether it's taken from the money you get or added to the loan.
You'll see the monthly payment, the money you'll actually receive, the total cost of borrowing and the real APR, plus a table comparing 24 to 84-month terms.
Term changes everything
$15,000 at 11.5% with a 5% fee:
| Term | Monthly payment | Total interest | APR incl. fee |
|---|---|---|---|
| 24 months | $702.60 | $1,862.51 | 16.7% |
| 36 months | $494.64 | $2,807.04 | 15.1% |
| 48 months | $391.34 | $3,784.09 | 14.3% |
| 60 months | $329.89 | $4,793.35 | 13.8% |
The APR falls on longer terms because the fee is spread over more years, but you pay more interest in dollars. Lenders also tend to charge higher rates on longer terms, so check the real offer for each term.
Origination fees, explained
Many online lenders charge an origination fee between 1% and 10%. Two things to know:
- It's usually deducted from the loan. Borrow $15,000 with a 5% fee and $14,250 lands in your account. If you need the full $15,000, borrow about $15,789.
- It belongs in the APR. Without the fee, the loan above has an APR equal to its 11.5% rate; with it, about 15.1%. A no-fee loan at 13% would be cheaper.
What personal loans are good for
Debt consolidation. Replacing credit cards at 22–28% with one fixed payment at a lower APR can save thousands, and you get a fixed payoff date. It only works if the cards don't fill up again. Model your cards first with the credit card payoff calculator.
Planned one-off costs. A necessary repair, a medical bill or a move, where a fixed payment is easier than a credit card.
Less ideal: vacations, weddings and other wants. Saving up first costs nothing; borrowing $10,000 for 3 years at 15% APR adds about $2,500.
Before you apply
- Check your rate without hurting your credit. Most lenders offer a soft-pull prequalification.
- Compare at least three offers by APR, not by monthly payment.
- Read the fees: origination, late fees, and any prepayment penalty (most personal loans have none).
- Make sure the payment fits. Lenders look at your debt-to-income ratio; so should you. The debt-to-income calculator shows where a new payment would put you.
- Have a payoff plan for everything else. The debt payoff calculator puts the new loan into a snowball or avalanche plan with your other debts.
Paying it off early
Most personal loans let you pay extra without a penalty. Extra payments cut interest the same way they do on student loans; see the effect with the student loan payoff calculator, which works for any fixed-rate loan.
Keep every debt in one plan
A new loan is easier to manage when you can see it next to everything else. Zero is a debt payoff planner that orders your debts by snowball or avalanche, shows your debt-free date and moves the progress bar every time you pay. Vault keeps your budget, bills and goals together. Both have a free demo with sample data you can try in your browser.
Estimates for a fixed-rate loan with equal monthly payments. Your lender's Truth in Lending disclosure shows the exact APR and payment.
Frequently asked questions
What is the monthly payment on a $15,000 personal loan?
What is an origination fee?
What's the difference between interest rate and APR?
How do I borrow enough to cover the fee?
Is a shorter or longer term better?
Is a personal loan a good way to pay off credit cards?
Written by
Finance Specialist & Editor, VaultlyApps
Emma Whitfield writes and edits the VaultlyApps money guides and free calculators. Her focus is US household finance — budgeting on a real paycheck, paying down credit card and student debt, emergency funds and savings goals, renting — and the money side of freelancing and small-business income, from pricing and profit margins to self-employment tax. Every guide is researched against primary sources such as IRS publications and the CFPB, every number is checked in our tested calculators, and tax content is reviewed each year when new IRS figures come out. Emma is not a licensed financial adviser or tax preparer; her work is general education, not personal advice.
Researched against primary US sources, checked against independent calculators and reviewed by a finance expert on our team. Written for US readers — general education, not financial, tax or legal advice. Editorial policy · Disclaimer
