Estimate loan payments and total borrowing cost

Use this loan calculator to estimate the regular payment on a fixed-payment, fully amortizing loan. It combines the amount you borrow with any fees added to the balance, then shows how the selected payment frequency affects the payment amount and repayment timeline.

The result is designed for founders and small-business owners comparing financing scenarios or planning cash flow. It is an estimate, not a lender quote or affordability decision.

What the loan calculator shows

The calculator reports:

• Regular payment: the estimated amount due at the selected frequency.
• Amount financed: the loan amount plus only the fees entered as financed.
• Total interest: estimated interest over the full term.
• Total fees: the financed fees entered in the calculator.
• Total repaid: principal, financed fees and estimated interest combined.
• First payment breakdown: the estimated interest, principal and remaining balance after payment one.
• Selected balance milestones: the estimated remaining balance after one year and halfway through the term. These are snapshots, not a full period-by-period amortization schedule.

How to use it

Enter the assumptions for the loan you want to evaluate:

1. Add the loan amount in US dollars.
2. Enter the nominal annual interest rate as a percentage.
3. Choose a whole-number loan term from 1 to 50 years.
4. Add any financed fees that will be included in the loan balance. Leave this at zero for fees paid separately or when no fees are financed.
5. Select monthly, biweekly, weekly, quarterly or annual payments.

The estimate updates as the inputs change. Compare scenarios using the same fee treatment and term so differences remain meaningful.

How the payment is calculated

For a loan with interest, the calculator uses the standard fixed-payment annuity formula:

Payment = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1)

In this formula:

• P is the amount financed: loan amount plus financed fees;
• r is the nominal annual interest rate divided by the selected number of payments per year; and
• n is the loan term in years multiplied by the number of payments per year.

At 0% interest, the calculator uses a separate linear branch and divides the amount financed evenly across all payment periods. This avoids dividing by a zero periodic rate.

Regular payments are rounded to cents. When that rounding creates a small remainder, the estimated final payment is adjusted by a few cents so the total repaid remains consistent with the exact amortization.

Verified default example

With a $100,000 loan amount, 6.5% nominal annual interest, a five-year term, no financed fees and monthly payments, the verified calculator returns:

• regular monthly payment: $1,956.61;
• amount financed: $100,000.00;
• total interest: $17,396.89;
• total repaid: $117,396.89; and
• estimated final payment: $1,956.90.

The first payment is estimated as $541.67 interest and $1,414.94 principal, leaving a balance of $98,585.06.

How payment frequency changes the result

Payment frequency determines the periodic rate and the number of payments in the term. A monthly schedule uses 12 periods per year, while a biweekly schedule uses 26. Quarterly and annual options use 4 and 1 periods per year.

Changing frequency can change both the payment size and total estimated interest because the nominal annual rate is allocated across a different number of periods. Use the frequency stated in the financing offer when comparing the calculator with lender figures.

How financed fees are treated

Only enter fees that are added to the loan balance. The calculator includes those fees in the amount financed, so they accrue interest at the same nominal rate as the rest of the balance.

Do not add fees that are paid upfront unless the financing agreement actually adds them to principal. The calculator does not determine which charges a lender includes, waives or collects separately.

Assumptions and limitations

The calculator assumes:

• a fixed nominal annual interest rate for the full term;
• equal regular payments, with a possible small final-payment adjustment for cent rounding;
• payments made at the end of each period;
• financed fees added to principal and charged at the same rate; and
• no extra payments, skipped payments, late charges or rate changes.

Actual lender schedules may use different day-count conventions, payment timing, fee treatment or rounding. The estimate does not include taxes, insurance or charges that are not entered as financed fees. It does not replace lender disclosures, an affordability assessment or professional financial advice.

Frequently asked questions

Does the calculator work with a 0% interest rate?

Yes. At 0%, it divides the amount financed by the total number of payments. Total interest remains zero, and the final payment can differ by a few cents only to resolve rounding.

Why can the estimated final payment differ from the regular payment?

The regular payment is displayed to the nearest cent. Repeating that rounded amount may leave a small remainder compared with the exact calculation, so the final payment absorbs that difference.

Is the milestone breakdown a full amortization schedule?

No. It shows the first payment split plus balances after one year and halfway through the term. Use the lender's official schedule for every payment date, balance and charge.

Can I use the result as a lending decision?

No. The result is a planning estimate. It does not assess eligibility, credit risk, affordability or the complete terms of a financing agreement.