Amortization Calculator

Use our free loan amortization calculator to compute your monthly loan payments, total interest, and a detailed amortization schedule.

Loan Details

$
Years and additional months

Payment Summary

$1,342.05
Monthly Payment
$233,139.46
Total Interest
$483,139.46
Total Amount
360
Total Payments

Payment Breakdown

Principal $250,000.00
Interest $233,139.46
Total $483,139.46
Principal 51%
Interest 49%

Amortization Schedule

Payment # Date Payment Principal Interest Balance
1 Jan 2025 $1,342.05 $404.55 $937.50 $249,595.45
2 Feb 2025 $1,342.05 $406.07 $935.98 $249,189.38
3 Mar 2025 $1,342.05 $407.59 $934.46 $248,781.79

How It Works

Follow these four steps to use our loan amortization calculator and understand your payment plan.

1

Enter Loan Details

Input loan amount, interest rate, loan term, and payment frequency for precise results.

2

Calculate Payments

The calculator instantly determines your monthly payment, total interest, and full amortization schedule.

3

Review Schedule

View each payment’s principal and interest breakdown in an easy-to-read amortization table.

4

Save Results

Download or print your amortization schedule for recordkeeping and future planning.

Additional Tools

Explore our comprehensive suite of date and time calculation tools designed to make your life easier.

Understanding Amortization

Amortization refers to repaying a loan over time through equal payments that include both principal and interest. Early payments are mostly interest, while later ones apply more toward principal.

Key Terms

Principal

The original amount borrowed, reduced with each payment.

Interest

The cost of borrowing, based on your outstanding balance.

Term

The total duration of the loan, usually in years or months.

APR

Annual Percentage Rate - the yearly cost of the loan including interest and fees.

Pro Tip

Use the Exact Interest Rate

Always input the correct annual percentage rate (APR) from your lender.

Consider Extra Payments

Making extra principal payments can lower interest costs and shorten the loan term.

Compare Frequencies

Try bi-weekly payments to save thousands in interest over time.

Review Total Costs

Remember: the total loan cost includes both principal and total interest paid.

Payment Breakdown Over Time

Early Payments

80% Interest, 20% Principal

Mid-Term Payments

50% Interest, 50% Principal

Final Payments

20% Interest, 80% Principal

Why It Matters

Understanding amortization helps you plan your budget, estimate interest costs, and identify opportunities to pay off loans faster.


Best Practices

Make additional principal payments to reduce total interest.

Consider switching to bi-weekly payments to shorten your term.

Review refinancing options if you can secure a lower rate.

Frequently Asked Questions

Get answers to common questions about amortization calculations and loan payments.

An amortization calculator helps you estimate your loan payments, total interest, and complete amortization schedule. It breaks down each payment into principal and interest portions over time.

An amortization schedule is a table showing every loan payment from start to finish. Early payments mostly cover interest, while later ones reduce more of the principal balance.

The standard amortization formula is: P = [r × PV] / [1 - (1 + r)^(-n)] Where P = payment, r = monthly interest rate, PV = loan amount, and n = total number of payments.

Yes. After entering your loan amount, interest rate, and term, the calculator automatically displays an amortization table with payment number, date, principal, interest, and remaining balance.

Absolutely. You can use it for mortgages, auto loans, personal loans, or any type of installment-based loan.

Both show how your loan is repaid, but an amortization schedule specifically details the split between principal and interest in each payment, while a repayment schedule may include extra fees or taxes.

Yes. By making additional principal payments, you can shorten your loan term and save significantly on total interest costs.

Select a bi-weekly frequency option in the calculator. It divides your monthly payment in half and applies it every two weeks, reducing interest and paying off the loan faster.

The interest rate is the base cost of borrowing, while APR (Annual Percentage Rate) includes additional lender fees, giving you a more accurate view of total loan costs.

No. All calculations are done locally in your browser. Your loan information is never saved, tracked, or shared.