How is the monthly loan payment calculated?
Monthly loan payment is calculated using the formula: M = P × [r(1+r)^n] / [(1+r)^n-1], where M is monthly payment, P is principal loan amount, r is monthly interest rate, and n is total number of payments.
What loan types can I calculate with this tool?
Our loan calculator supports Personal Loans, Auto Loans, Home Loans, Business Loans, Student Loans, and Refinance calculations with different interest rates and terms for each type.
Can I calculate loans in different currencies?
Yes, our calculator supports multiple currencies including USD, EUR, GBP, CAD, AUD, JPY, INR, BRL, MXN, SGD, and AED with proper regional formatting.
What payment frequencies are available?
You can calculate payments for Monthly, Bi-weekly, Weekly, Quarterly, and Annual payment frequencies to see how different schedules affect your total interest.
How does extra payment affect my loan?
Extra payments reduce the principal balance faster, significantly decreasing total interest paid and shortening the loan term. Even small extra payments can save thousands in interest.
What is an amortization schedule?
An amortization schedule shows the breakdown of each payment into principal and interest portions over the life of the loan, helping you understand how your balance decreases over time.
How accurate are the loan calculations?
Our calculations use standard financial formulas and are highly accurate for estimation purposes. However, actual loan terms may vary based on lender policies, credit score, and other factors.
Can I compare different loan scenarios?
Yes, our calculator includes a comparison feature that shows different scenarios like lower interest rates, shorter terms, and extra payments to help you make informed decisions.