Looking for a loan calculator with amortization schedule? This free tool gives you monthly payment, total interest and a month-by-month amortization schedule. Just enter your numbers and press Calculate — results are instant.
A loan payment is worked out from three things: how much you borrow, the yearly interest rate, and how many months you take to repay it. The rate is divided by 12 to get the monthly rate, and the payment is set so that the same amount every month clears the loan exactly on schedule. Early on, most of each payment is interest — only a small part reduces what you owe — and that balance slowly flips as the months pass. The calculator prints the full month-by-month schedule so you can see that flip happening.
Example: Loan amount $100,000 · Term 10 years · Interest 6% per year · Extra payment $0
Monthly Payment: $1,110.21
It is the month-by-month plan of your loan: every payment is split into interest and principal, and the table shows the balance falling to zero. Early payments are mostly interest; later ones are mostly principal.
Yes. An extra payment goes straight to the principal, which lowers the balance, which lowers the next month's interest. Even a small extra amount every month can cut months off the loan and save thousands in interest — try it in the amortization calculator.
Interest is charged on the full balance, which is at its highest at the start. In the example above, $500.00 of the first $1,110.21 payment is interest and only $610.21 reduces what you owe. As the balance falls, the interest part shrinks.
A fixed rate never changes, so your payment is predictable for the whole loan. A variable rate can start lower but can also rise. There is no universal winner — it depends on how long you will keep the loan and how much risk you can accept.