Personal Loan Calculator

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

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 have a default number, which could serve as a good starting point if you're unsure exactly how much you need. However, be sure to input whatever loan amount you're looking for if you're certain.

Interest rate

In this field, 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 help determine 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 monthly payments. However, this leads to more interest and a higher overall loan cost. A shorter term leads to higher monthly payments but less time to repay 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 14.99%. 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 Loan Payment Calculator
Loan Amount $10,000
Loan Term (yrs) 3
Interest Rate 14.99%
Total Interest Paid $2,477.76
Total Repayment $12,477.76
Monthly Payment $347

With this plan, you would pay $12,477.76 on a $10,000 loan. Your monthly payment estimate would be approximately $347, and you would pay $2,477.76 in interest.

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 five-year term:

Monthly Loan Payment Calculator
Loan Amount $10,000
Loan Term (yrs) 5
Interest Rate 14.99%
Total Interest Paid $4,270.81
Total Repayment $14,270.81
Monthly Payment $238

With this plan, you would pay $14,270.81 on a $10,000 loan. Your monthly payment estimate would reduce to approximately $238, but you would pay more interest, totaling $4,270.81.

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 you don’t have a starting baseline. A personal loan calculator can help you visualize 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.

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 affect my monthly payments?

Good credit is crucial for a lower personal loan APR.  Better credit generally means you will pay a lower interest rate for your personal loan.

Are Citi’s personal loans right for me?

Citi offers personal loans to both existing Citi customers and new Citi customers who meet specific eligibility criteria, including an established credit and income history along with additional factors determined by Citi. If you think you could benefit from a Citi Personal Loan, apply online 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

  • Start your personal loan application now!

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

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