Calculating your loan payment can give you a good sense of how much a loan will cost you over its whole term. Looking at the life of a loan includes knowing not only when you will pay it off or how much it costs you per month, doing so also provides you with a clear picture of the proportion of your payment that goes to interest. A small amount of data can yield big results in comparing different interest rates and loan terms. At the same time, this calculator shows you your estimated monthly payment, so you can see how that is also affected by changes in term or rate.
Move the sliders to the desired amounts or enter the numbers manually. Roll your cursor over the graphic to show additional information such as balances in the three categories by year. You can remove each of the three data points by clicking on them below the graphic.
Loan payments gradually reduce the amount owed on the initial loan and pay for accrued interest during the life of the loan. While the payment remains the same, the amount going toward your loan principal will increase over time.
If you have additional questions, need to consider how budgeting and debt consolidation may play into your overall financial picture, contact us. We will be happy to discuss some options for your financial future.