Amortization Calculator
An Amortization Calculator is a helpful financial tool that allows users to calculate loan payments and understand how a loan is paid over time. It shows the breakdown of monthly payments, including principal and interest amounts, making it easier to manage loans such as mortgages, car loans, and personal loans. This calculator provides quick and accurate results without manual calculations.
An Amortization Calculator also helps users see the total interest paid and the remaining loan balance after each payment. It is useful for planning budgets, comparing loan options, and understanding repayment schedules more clearly.
💰 Finance Tool
Amortization Calculator
Calculate your monthly loan payment, total interest paid, and get a full amortization schedule for any loan type.
🏠 Mortgage
🚗 Auto Loan
📋 Full Schedule
📊 Yearly Summary
Loan Details
Enter your loan amount, interest rate, and term to calculate your monthly payment and total interest paid.
$
% /yr
yrs
Optional
⚠️ Results are estimates based on a fixed interest rate. Actual payments may vary for adjustable-rate or variable loans.
⚠ Please enter a valid loan amount, interest rate, and term greater than zero.
Monthly Payment
$0.00
estimated monthly payment
$0
Monthly Payment
$0
Total Paid
$0
Total Interest
—
Payoff Date
Principal vs. Interest Breakdown
Principal
$0
Total Interest
$0
First Payment Breakdown
| Component | 1st Month | Last Month |
|---|
Extra Payment Calculator
See how making extra monthly payments reduces your loan term and saves you interest.
$
% /yr
$
💡 Even a small extra payment each month can save you thousands in interest and years off your loan.
⚠ Please enter valid loan details.
Interest Saved with Extra Payments
$0
total savings over loan life
$0
New Monthly
$0
Interest Saved
0 mo
Time Saved
—
New Term
Comparison: With vs. Without Extra Payment
| Metric | Without Extra | With Extra |
|---|
Generate Schedule
Enter loan details to generate a full month-by-month amortization schedule.
$
% /yr
⚠ Please enter valid loan details.
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Amortization Schedule
Calculation History
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About Amortization
Understanding how amortization works helps you make smarter borrowing decisions and save money over time.
What is Amortization?
Amortization is the process of paying off a loan through regular payments over time. Each payment covers both interest and a portion of the principal balance.
Front-Loaded Interest
Early payments are mostly interest. As you pay down principal, more of each payment goes toward the principal. This is why extra early payments save so much.
Extra Payments
Paying even $100–$200 extra per month on a 30-year mortgage can shave years off your loan and save tens of thousands in interest.
Fixed vs. Variable
Fixed-rate loans have the same rate for the entire term. Variable-rate loans fluctuate with market rates. This calculator assumes a fixed rate.
APR vs. Interest Rate
The interest rate is the base cost of borrowing. APR (Annual Percentage Rate) includes fees and is the true cost. Always compare APRs when shopping for loans.
Biweekly Payments
Making biweekly instead of monthly payments means 26 half-payments (13 full payments) per year, effectively making one extra monthly payment and reducing your term.
Common Loan Terms Reference
| Loan Type | Typical Term | Typical Rate Range |
|---|---|---|
| 🏠 30-Year Mortgage | 30 years | 5.5% – 8.0% |
| 🏠 15-Year Mortgage | 15 years | 5.0% – 7.5% |
| 🚗 New Car Loan | 36–72 months | 4.0% – 8.0% |
| 🚗 Used Car Loan | 24–60 months | 6.0% – 12.0% |
| 💳 Personal Loan | 2–7 years | 7.0% – 25.0% |
| 🎓 Student Loan (Federal) | 10–25 years | 4.99% – 7.54% |
| 🏢 Small Business Loan | 5–25 years | 6.0% – 15.0% |
Key Terms
| Term | Definition |
|---|---|
| Principal | The original loan amount borrowed |
| Interest | The cost charged by lender for borrowing |
| Monthly Payment | Fixed amount paid each month (P+I) |
| Amortization Schedule | Table showing each payment’s breakdown |
| Loan Term | Total time to repay the loan |
| Payoff Date | Date when loan is fully paid off |
