Loan Interest & Repayment Calculator

Enter the loan principal, annual interest rate, and term to calculate monthly payments, total interest, and total repayment amount — along with a full payment schedule — for equal payments (principal + interest), equal principal, and bullet repayment (interest-only until maturity) methods.

This result is a simplified estimate. Actual loan products may differ in fee structure (e.g. prepayment penalties), variable interest rates, interest calculation methods, and rounding rules, so actual repayment amounts may vary. Confirm the exact terms with your financial institution.

Frequently asked questions

What is the difference between equal payments and equal principal?

With equal payments, the total monthly amount (principal + interest) stays the same throughout the loan. With equal principal, the principal portion paid each month is fixed, while the interest decreases as the remaining balance falls — so the monthly payment gradually decreases.

What is bullet repayment?

You pay interest only every month throughout the loan term, then repay the full principal in a lump sum at maturity. Monthly payments are the lowest of the three methods, but since the principal never decreases, interest accrues at the same rate throughout — making the total interest the highest of the three. This method is common for overdraft accounts and some personal or lease-deposit loans.

Which method results in the least total interest?

Total interest from lowest to highest is generally: equal principal < equal payments < bullet repayment. Equal principal pays down the balance fastest, so interest accumulates the least. Bullet repayment keeps the full principal outstanding until the very end, so interest accumulates the most.

How does the initial repayment burden compare across methods?

Equal principal has the largest first-month payment, which then decreases gradually — making the initial burden relatively heavy. Equal payments keep the monthly amount constant, easing cash-flow planning. If you have strong early cash flow, equal principal may be advantageous; if you prefer a predictable fixed amount, equal payments are easier to manage.

What happens to interest if I repay early?

Interest accrues on the outstanding balance, so reducing it through early repayment lowers future interest costs. However, some products charge a prepayment penalty, so the actual savings depend on the contract terms. This calculator does not account for early repayment.