Amortization Calculator
See a detailed payment schedule for any fixed-term loan.
Monthly Pay:
$0.00
What is an Amortization Schedule?
An amortization schedule is a complete table of periodic loan payments, showing the amount of principal and the amount of interest that comprise each payment until the loan is paid off at the end of its term. While each monthly payment is the same, the portion that goes toward principal and interest changes over time. In the beginning, a larger portion of your payment goes to interest. As the loan matures, more and more of your payment goes toward paying down the principal.
How This Calculator Helps You
- Visualize Your Loan: See exactly where your money is going with a detailed breakdown and charts.
- Plan for the Future: Understand your long-term financial commitment for mortgages, auto loans, or personal loans.
- Save Money: Use the "extra payments" feature to see how you can pay off your loan faster and reduce the total amount of interest you pay. Even small extra payments can make a big difference over time.
Frequently Asked Questions (FAQ)
What's the difference between principal and interest?
Principal is the amount of money you originally borrowed from the lender. Interest is the cost of borrowing that money, essentially a fee paid to the lender for their service. Your monthly payment includes both.
How do extra payments work?
When you make an extra payment, that money typically goes directly toward reducing your loan's principal balance. Since interest is calculated based on the current balance, reducing the principal means you'll pay less interest in the following months and over the life of the loan, allowing you to become debt-free sooner.
Can this calculator be used for any type of loan?
Yes, this calculator works for any fixed-rate, fixed-term loan, including mortgages, auto loans, student loans, and personal loans. It is not suitable for variable-rate loans where the interest rate can change over time.