Personal Loan Calculator: Estimate Your Monthly Payments

How to use this calculator

1. Enter a loan amount

Enter a personal loan amount from $1,000 to $100,000 — the typical range offered by lenders. You’re more likely to qualify for large amounts if you have strong credit and high income.

2. Enter your interest rate

The rate you receive depends primarily on your credit profile and financial information. Advertised annual percentage rates (APR) range from about 6% to 36% — but sub-10% rates may be hard to get.

For a more realistic idea of what to expect, consider that borrowers with good credit who pre-qualified through NerdWallet over the last 90 days received an average APR of 19.58%.

3. Choose a repayment term

Personal loans typically have repayment terms from two to seven years. A loan with a long term has lower monthly payments, while a shorter-term loan costs less in interest.

4. Include an origination fee (optional)

An origination fee is a one-time fee that’s charged as an upfront percentage of the loan amount, usually 1% to 10%, and typically deducted from the loan proceeds.

How to make the most of your results

This calculator can help you understand how different loan amounts, rates and terms affect your loan and, ultimately, whether you can afford the monthly payment.

Here’s what to consider as you compare different scenarios or loan offers.

How does the interest rate affect my loan?

Your rate has a huge impact on the amount you pay each month and over the life of the loan.

For example, here's how two different rates would affect a $10,000, three-year loan:

For an idea of what rate you may qualify for, here are the average APRs by credit band that borrowers who pre-qualified through NerdWallet received over the last 90 days:

(Note that these rates are estimates only, based on aggregate, anonymized data.)

» Don't know your credit score? Check it for free.

Which term should I go with?

As you experiment with the calculator, you’ll see that longer terms equal lower monthly payments but more interest overall. A shorter-term loan has higher monthly payments but costs less in interest.

The ideal repayment term balances affordable payments and low interest costs.

Can I afford the monthly payments?

Once you have an idea of the loan amount, interest rate and term you’d want, ask if you can reliably afford the monthly payment while still covering essential expenses and other debt payments. If not, you may need to adjust the loan amount or term to get lower payments.

How much money will I actually get?

An origination fee won’t affect your monthly payment, but it will take a bite from your proceeds.

For example, say you need to cover a $25,000 expense. If your loan comes with a 5% origination fee, you'd only receive $23,750. You’d need to request a larger loan to account for that deduction.

Keep in mind that more than half of the 39 personal loan lenders NerdWallet surveys charge an origination fee.

How to get a personal loan

If you’ve identified an amount, term and monthly payment you feel comfortable with, it’s time to compare loan offers and apply. Here’s what’s next:

1. Pre-qualify

Many online lenders, banks and credit unions allow you to pre-qualify for a personal loan. First, you give the lender some information about yourself, such as your name, income, desired loan amount and loan purpose.

Then the lender will then do a soft credit check to determine what loan amount, rate and repayment term you may qualify for. Soft credit checks don’t impact your credit score.

It's a good idea to pre-qualify with multiple lenders to find the best offer — which is usually the one with the lowest APR.

2. Compare lender features

Once you see multiple lenders’ offers, compare their features to find the best fit for you. Consider these factors:

APR or interest rate: APR represents the cost of borrowing, making it the best apples-to-apples cost comparison tool. A lender is required to disclose this number before you get a loan.

A personal loan’s APR is the same as its interest rate if there's no origination fee.

Monthly payment: Loan payments should fit comfortably into your monthly budget. Many lenders offer rate discounts for autopay, which can help prevent late payments.

On-time personal loan payments can build credit, while late and missed payments hurt it.

Total interest payments: Looking at the total interest paid lets you compare the cost of one loan to another. You can also use it as a gut-check to decide if the loan is worth it.

If you have multiple promising offers, compare special loan features to break the tie. Some lenders have credit-building tools, flexible payment dates, fast funding and the option to pay your creditors directly with loan funds.

3. Read the fine print

Once you’ve chosen a lender, closely review the terms before formally applying. Here are a few important details to note:

Fees: Check for origination fees, late fees or prepayment penalties. Most lenders allow you to repay the loan early with no penalty.

Automatic withdrawals: Note whether the lender automatically withdraws payments from your checking account. If it does, consider setting up a low-balance alert with your bank to avoid overdraft fees.

Extra payments: Confirm that extra payments above the minimum due can be applied to the principal. That can save you money on interest and speed up repayment.

4. Submit your application

Accept your pre-qualified offer and fill out the lender’s formal application. Having documents ready that prove your identity and income, like paystubs and tax forms, can help move the application process more quickly.

When you submit your application, the lender does a hard credit pull that may cause a temporary dip in your credit score.

Some lenders offer same-day loan approval, while others take between one and seven business days to process your application.

5. Get funded

If approved, most personal loan lenders can fund a loan within a week. Some say they’ll send you the money the same or next business day after approval.

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