Free Loan Calculator
Work out your monthly repayments, total interest, and total cost of borrowing in seconds. Adjust the loan amount, interest rate, and term to compare your options.
Calculate Your Loan Repayments
Enter your loan amount, interest rate, and repayment term below to see your estimated monthly payment, total interest, and total repayment amount instantly.
How the Loan Calculator Works
Understanding the numbers behind your repayments
Loan Amount
This is the total sum you plan to borrow, before any interest is added. It’s usually the price of the car, purchase, or project you’re financing, minus any deposit you’re putting down.
Interest Rate (APR)
The Annual Percentage Rate reflects the yearly cost of borrowing, including interest and standard fees. A lower APR means less added to your loan overall, so it pays to compare lenders.
Loan Term
This is how long you have to repay the loan, usually stated in months. A longer term lowers your monthly payment but increases the total interest you pay over the life of the loan.
Monthly Repayment
The calculator uses a standard amortisation formula to spread your loan amount and interest evenly across every monthly payment, so each instalment stays the same throughout the term.
Loan Calculator
Adjust the figures to see your results update instantly
How to Get an Accurate Estimate
Follow these steps to make sure the figures you enter give you the most realistic picture of your future repayments.
Know the Real Loan Amount
Subtract any deposit or trade-in value from the total price to find the actual amount you need to borrow, rather than entering the full purchase price.
Use a Representative APR
Check a lender’s representative APR rather than a generic advertised rate, as your personal rate will depend on your credit history and the amount borrowed.
Compare Different Terms
Try a few different loan terms in the calculator to see how they affect both your monthly payment and the total interest, then pick the balance that suits your budget.
Check for Extra Fees
Some loans include arrangement fees or early repayment charges that aren’t reflected in a basic calculator, so always read the full loan agreement before signing.
Common Loan Types Compared
A quick overview of how different UK loan types typically compare in terms, rates, and security.
| Loan Type | Typical Term | Typical Rate Range |
|---|---|---|
| Personal Loan | 1 to 7 years | Unsecured, based on credit profile. |
| Car Loan / HP | 1 to 5 years | Often secured against the vehicle. |
| Home Improvement Loan | 1 to 10 years | Can be secured or unsecured. |
| Debt Consolidation Loan | 1 to 7 years | Combines multiple debts into one payment. |
| Guarantor Loan | 1 to 5 years | Requires a guarantor; suited to thin credit files. |
| Early Repayment | Usually allowed, though some lenders charge a small early repayment fee. | |
Loan Calculator FAQ
Answers to the most frequently asked questions about using a loan calculator and understanding your repayments.
A loan calculator uses the loan amount, interest rate, and loan term to work out your fixed monthly repayment using a standard amortisation formula. It also shows you the total interest paid and the total amount repaid over the life of the loan.
The interest rate is the cost of borrowing the money itself, while APR (Annual Percentage Rate) includes the interest rate plus any additional fees or charges, giving you a more accurate picture of the total yearly cost of the loan.
No, using an online loan calculator has no effect on your credit score at all. It is simply a maths tool and does not involve a credit check or any contact with lenders or credit reference agencies.
In most cases, yes. Many UK lenders allow early repayment, though some may charge an early repayment fee, typically one to two months’ interest. Paying off a loan early generally reduces the total interest you pay overall.