Loan Monthly Payment Calculator

Monthly payments are calculated using the amortization formula: M = P × r(1+r)^n / [(1+r)^n−1], where P is the loan amount, r is the monthly interest rate, and n is the total number of payments. This formula distributes payments evenly across the loan term.

The interest rate is the basic cost of borrowing money. The APR (Annual Percentage Rate) includes the interest rate plus all additional fees (insurance, origination fees, etc.). Always compare APRs when shopping for loans, as it reflects the true total cost.

A longer loan duration lowers your monthly payments but increases total interest paid. A shorter duration means higher monthly payments but significantly less total interest. For example, extending a loan from 15 to 25 years may reduce monthly payments by 25% but double the total interest paid.

Generally yes — early repayment saves you money on interest. However, check for prepayment penalties in your loan agreement. In France, prepayment penalties for mortgages are capped at 6 months' interest or 3% of the remaining balance.

Because the debt is spread over more months, which lowers each payment, but interest is charged for a longer period. That usually makes the total amount repaid significantly higher.