ZeroUtil

Loan / Mortgage Calculator

Calculate monthly payments, total interest and amortization for any loan.

How to Use the Loan / Mortgage Calculator

This calculator helps you estimate monthly payments and total cost for any type of loan — mortgages, car loans, personal loans and student loans.

  1. Enter the loan amount — the total principal you plan to borrow (e.g. $250,000 for a home mortgage).
  2. Enter the annual interest rate — the yearly rate your lender quotes (e.g. 6.5%). Enter 0 for interest-free loans.
  3. Enter the loan term — toggle between years and months. Common terms are 30 years or 15 years for mortgages, 3–7 years for car loans.

The calculator instantly shows your monthly payment, total amount paid over the life of the loan, and total interest you'll pay. The amortization bar shows the split between principal and interest as a percentage of total cost.

The formula used is the standard amortization formula: M = P × [r(1+r)n] / [(1+r)n − 1], where P is the principal, r is the monthly interest rate, and n is the number of payments.

Frequently Asked Questions

How is the monthly mortgage payment calculated?

Monthly payment uses the standard amortization formula: M = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the loan principal, r is the monthly interest rate (annual rate / 12 / 100), and n is the total number of monthly payments.

What is the difference between interest rate and APR?

The interest rate is the cost of borrowing the principal. APR (Annual Percentage Rate) includes the interest rate plus other fees like origination fees and closing costs, giving you the true yearly cost. This calculator uses the interest rate; check with your lender for the full APR.

Should I choose a 15-year or 30-year mortgage?

A 15-year mortgage has higher monthly payments but saves significantly on total interest. A 30-year mortgage offers lower monthly payments but costs more over time. Use this calculator to compare both options side by side.

Does this calculator include taxes and insurance?

This calculator computes principal and interest only. Your actual monthly housing payment may also include property taxes, homeowner's insurance, and private mortgage insurance (PMI). Add those separately for a complete estimate.

Can I use this for car loans and personal loans?

Yes. The amortization formula works for any fixed-rate loan. Enter your car loan amount, the dealer's quoted APR, and the loan term (typically 3-7 years for auto loans) to see your monthly payment and total cost.

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