Personal Loan Calculator

A personal loan calculator helps you understand how much you’ll end up paying for a personal loan over time, given certain conditions. If you're unsure about the hard numbers, using a calculator is an excellent tool to figure out how certain variables like loan amount, estimated interest rate, and loan term affect the overall cost of a personal loan.  

Citi's personal loan calculator can put into perspective how much a loan will end up costing you as you continue to pay it off. In this way, it can help you plan for expenses for which you need to use personal loans.

Understanding the Personal Loan Calculator Terms  

Personal loan calculators typically use three key parameters: loan amount, estimated interest rate, and loan term. These variables combine to calculate your specific personal loan payment. 

Loan Amount 

This section is where you enter your loan amount. Some personal loan calculators will have a default number in place, which could serve as a good starting point if you're unsure exactly how much you need, but be sure to input whatever loan amount you're looking for if you're certain. 

Interest Rate 

This field is where you input whatever interest rate you estimate the loan will have. If possible, you should try to enter your expected annual percentage rate, which accounts for your interest rate and fees and can be helpful in determining your total loan cost.

Loan Term 

The loan term field lets you choose the duration of time the lender will give you to repay the loan. A longer term means lower payments per month, which could be tempting for borrowers with limited incomes. However, this leads to more interest and ultimately a higher overall loan cost. A shorter term leads to higher monthly payments but less time paying back the loan. 

How do you calculate a personal loan payment?

After you input all the numbers, a good personal loan calculator will display a monthly payment, the total interest paid, and the overall repayment needed. 

For example, say you need a $10,000 loan, and your estimated interest rate is 8%. You want to pay it off in a reasonable amount of time but without waiting too long, so you choose a three-year term. Putting these numbers into the personal loan calculator would yield the following figures: 

Monthly payment: $313.36

Total interest: $1,281.09

Total Repayment: $11,281.09

With this plan, you would pay $11,281.09 on a $10,000 loan.  

For comparison's sake, paying back the loan over a longer term would be more expensive. Here's what your payment plan would look like for the same loan on a seven-year term: 

Monthly payment: $155.86

Total interest: $3,092.42

Total Repayment: $13,092.42

With this plan, you would pay $13,092.42 on a $10,000 loan.

After Your Personal Loan Calculation

After calculating your personal loan payment, it's time to find a personal loan. 

You can get a personal loan from traditional banks, online lenders, or credit unions. 

Frequently Asked Questions

Why use a personal loan calculator? 

It can be hard to plan out loan repayments if there is no baseline from which to start. A personal loan calculator can help you visualize exactly how much you will have to pay every month, making it easier to plan for a debt-free future. These calculators are also easily adjustable, so handling changes is simple and efficient.

How do you calculate monthly payments on a personal loan?

You can calculate your monthly payment by taking the total loan amount (a), interest rate (r, which is divided by 12 monthly payments), and loan term (n, also expressed monthly) and using the following formula: 

a ÷ ÷ [ r ( 1 + r ) n ] 

If you had a five-year loan for $20,000 loan with an interest rate of 5%, the results would be: 

20,000 ÷ ÷ [ 0.005 ( 1 + 0.005 ) 60 ] = $377.42 per month

Will my loan payment change month to month? 

This depends on the type of loan you get. If you get a fixed-rate loan, your monthly payment will not change because the interest rate will stay the same over the life of the loan. Meanwhile, a variable-rate loan is subject to rising interest rates and will likely change. Try to get a fixed-rate loan if you can. 

How does my credit score affect my monthly payments?

A good credit score is crucial for a lower personal loan APR. A higher credit score generally means you will pay a lower interest rate for your personal loan. A lower credit score, if you still qualify, generally means you will pay a higher interest rate for your personal loan.  

Are Citi’s personal loans right for me? 

Citi offers personal installment loans to Citi customers with a Citibank deposit account open for the last 12 months in good standing. If you think you could benefit from a debt consolidation loan and are a current Citibank customer, apply for a personal loan today.


Disclosure: "This article is for educational purposes. It is not intended to provide legal, investment, or financial advice and is not a substitute for professional advice. It does not indicate the availability of any Citi product or service. For advice about your specific circumstances, you should consult a qualified professional.”

Additional Resources

Alt Text

Start your personal loan application now!

Alt Text

Learn how FICO® Scores are determined, why they matter and more.

Alt Text

Review financial terms & definitions to help you better understand credit & finances.