Loan Calculator

Most loan calculators tell you the monthly payment and stop there. The monthly payment is the least surprising number in a loan — it is the one the lender already told you. The one worth seeing is the total interest, which on a long loan is routinely close to the amount borrowed, and the one worth acting on is what happens when you pay a little more each month.

That last figure is genuinely counter-intuitive. On a twenty-year loan at a typical rate, adding five thousand a month removes not a few payments but several years, because every rupee of the extra payment comes straight off the principal — and with it, all the future interest that would have been charged on that principal for the rest of the term.

This calculator shows all three: the instalment, the total cost, and the effect of paying extra. The prepayment figure is simulated month by month, exactly as the lender's own ledger would run, rather than approximated with a formula.

Two things it does not model, because they vary by lender rather than by mathematics. Many loans charge a fee for prepaying, and fixed-rate loans often restrict it entirely — check your agreement before planning around the saving. And floating rates change: the figure here assumes today's rate for the whole term, which is an assumption, not a prediction.

The whole calculation happens on your device. No amount, term or rate is sent anywhere, which is worth knowing given what you are typing in.