Once you've entered all the required information, our personal loan calculator generates several key figures. These numbers help you understand the financial implications and compare different loan options effectively:
Personal Loan Calculator
Updated: October 21, 2025
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Personal Loan Calculator
Estimate the monthly payment for your loan.
Updated: Oct 30, 2025
5 Years
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How to Use MoneyGeek’s Personal Loan Calculator
Taking out a personal loan impacts your budget and financial well-being for years. It’s important to look at your loan terms and monthly payment so you can choose a loan that works for you. Here's how to calculate loan payments with MoneyGeek's personal loan calculator.
- 1Enter the loan amount
This is the principal sum you intend to borrow. Personal loan amounts range from $1,000 to $100,000, depending on the lender and your creditworthiness.
Be realistic about how much you need versus what you can afford to repay over time. Borrowing too much creates financial strain, while borrowing too little might leave you short.
- 2Enter the interest rate
This is the annual percentage rate (APR) you'll be charged for borrowing. Your credit score plays a huge role in determining this rate, a higher score usually results in a lower interest rate.
Obtain the APR directly from your loan offer or lender, as even a slight variation can substantially impact your monthly payments and total interest paid over the loan term.
- 3Specify the loan term
This is the duration over which you'll repay the loan, in months or years. Shorter terms mean higher monthly payments but less total interest, while longer terms lower your monthly payments but cost more in interest overall.
Monthly payment amount
The sum you'll need to pay each month. This figure helps you assess whether the loan fits your monthly budget and influences your decision on loan term length.
Total interest paid
The sum of all interest payments over the loan's life. This number shows the real cost of borrowing beyond the principal amount.
Total loan cost
The combined total of principal and all interest payments. This gives you a comprehensive view of your financial commitment, helping you evaluate whether the loan makes sense for your long-term financial goals.
Why Use a Personal Loan Calculator?
MoneyGeek's personal loan calculator empowers you to take control of your financial future. By inputting your loan amount, interest rate and loan term, you get a customized snapshot of your financial commitment. This helps you align the loan with your budget and long-term goals.
You can adjust variables like loan amount, interest rate and loan term to see how each change impacts your monthly payment and total interest. This flexibility lets you explore various loan structures, helping you determine which one aligns best with your financial situation.
What Is a Good Personal Loan Rate?
The Federal Reserve reports the average interest rate for a 24-month personal loan is 12.17% as of August 2023. The National Credit Union Administration reports the average for a 36-month personal loan is 10.02% at credit unions and 10.75% at banks as of March 2023.
A good rate is one that aligns with your financial capabilities and goals, a rate that lets you make monthly payments without straining your budget while enabling you to pay off the loan in a reasonable timeframe.
Finding a good personal loan rate depends heavily on your credit score. A higher credit score opens the door to loan approval and helps you secure lower interest rates and better terms. Your debt-to-income ratio and income also influence the rate and terms you're offered.
What to Consider When Applying for Personal Loans
Shopping for a personal loan isn't just about finding approval. You need to understand the factors that contribute to the loan's cost so you can make an informed decision aligned with your financial goals.
Here are key factors that can impact your personal loan's overall cost:
- Interest rate: The APR is one of the most direct cost factors. Shop around rather than accepting the first offer. Your credit score, income level and the lender's policies contribute to your offered rate, so comparing multiple offers can help you find more favorable terms.
- Loan term: The repayment timeframe plays a key role in cost. A longer term offers smaller monthly payments but results in higher total interest paid. A shorter term means higher monthly payments but saves money long-term by reducing total interest.
- Fees and charges: Additional fees beyond the interest rate can inflate borrowing costs. These include origination fees, late payment charges and even prepayment penalties if you pay off the loan early. Read the fine print and ask lenders about any additional fees.
- Loan amount: The amount you borrow directly impacts your monthly payment and total interest accrued. Borrow only what you need and can realistically repay. Overborrowing increases your financial burden and can make you less attractive to future lenders.
- Your credit score: A higher credit score unlocks lower interest rates and better terms, making loans less costly over time. Regularly check your credit report for errors and work to improve your score before applying.
What Are the Types of Personal Loans?
Shopping for a personal loan means encountering a wide range of options. Understanding different loan types helps you make an informed decision aligned with your financial needs and goals.
Unsecured personal loans
Unsecured personal loans are the most common type and don’t require any collateral. Lenders decide approval based on your credit score and income. These loans usually have higher interest rates because they’re not backed by assets, but they’re faster to get and can be used for a wide range of purposes.
Secured personal loans
Secured personal loans require collateral, such as a car or savings account. Collateral reduces the lender's risk, often resulting in lower interest rates. However, you risk losing the asset if you default.
Debt consolidation loans
Debt consolidation loans are specialized loans that pay off multiple debts, such as credit cards, combining them into a single monthly payment. The goal is to secure a lower interest rate or more manageable payments. Crunch the numbers to ensure consolidation actually saves you money.
Co-signed Loans
If you have poor credit history or low income, a co-signed loan might be an option. Someone with better financial standing co-signs the loan, vouching for your repayment ability. While this can help you secure a loan and possibly a lower rate, the co-signer becomes responsible if you default, which can strain personal relationships.
Fixed-rate loans
With fixed-rate loans, your interest rate stays the same for the entire loan term. This stability makes it easier to plan your budget and manage monthly payments. However, you could miss out on lower rates if market interest rates decrease later on.
Variable-rate loans
Variable-rate loans have interest rates that change based on market conditions. You might benefit from lower rates when the market dips, but payments can increase if rates rise. This type of loan can offer savings at times but also comes with more uncertainty.
Personal line of credit
Unlike a traditional personal loan that gives you a lump sum upfront, personal line of credit lets you borrow funds as needed up to a set limit. This option works well for ongoing expenses or projects with uncertain costs. You’ll only pay interest on the amount you use, which gives you more control and flexibility.
Where to Get Personal Loans
Your lender choice can be as important as the loan type you select. Different lenders offer varying interest rates, terms, fees and customer service experiences. Knowing your options helps you find a lender that meets your financial needs and aligns with your preferences.
- 1Traditional banks
Long-standing financial institutions that offer a wide range of loan products. They may offer competitive rates for customers with strong credit histories, but their criteria can be stringent, making approval challenging for those with less-than-perfect credit. If you're already a customer, you may enjoy conveniences like integrated online banking.
- 2Credit unions
Member-owned institutions that often offer more personalized service and flexible lending criteria. As not-for-profit organizations, they sometimes offer lower interest rates and fees. You'll need to be a member to apply, which could require meeting criteria like living in a specific area or working in a certain industry.
- 3Online lenders
Digital-first institutions offer a streamlined application process that's often quicker than traditional methods. They may use alternative data, like utility payments or rent history, to evaluate creditworthiness, making them a good option for those with lower credit scores. Read reviews and check for accreditation to ensure you're dealing with a reputable lender.
Your best choice depends on your specific needs, creditworthiness and preferred customer experience. Shop around and compare offers to find the right fit.
FAQ about Personal Loans
To guide you on your personal loan journey, we answered some frequently asked questions about personal loans.
What is a personal loan?
A personal loan provides you with a lump sum of money that you repay in monthly installments over a set period. The repayment term ranges from 12 to 60 months or more. The loan has an interest rate that's either fixed or variable, affecting the total amount you'll repay.
What can I use a personal loan for?
Personal loans are versatile and can cover debt consolidation, home improvements, medical expenses or vacations. Use personal loans responsibly and only for needs, not wants, as you're committing to repay with interest.
What are the fees associated with personal loans?
Beyond interest rates, personal loans can include origination fees, late payment fees and prepayment penalties. Read the fine print and ask lenders about any additional charges.
What is a good personal loan rate?
Interest rates for personal loans range between 6% and 36% on average. A rate at the lower end is considered good, as you'll pay less over the loan's life.
Can I get a personal loan with bad credit?
Yes, you can get a personal loan with bad credit. However, lenders may offer higher interest rates and stricter terms to offset the risk.
Can I pay off my personal loan early?
Most lenders allow early payoff, but some charge a prepayment penalty. This fee lets lenders recoup some of the interest payments they'd miss if you pay ahead of schedule. Read the fine print or ask your lender about prepayment penalties.
Other Personal Loan Resources
About Christopher Boston
Christopher (Croix) Boston was the Head of Loans content at MoneyGeek, with over five years of experience researching higher education, mortgage and personal loans.
Boston has a bachelor's degree from the Seattle Pacific University. They pride themselves in using their skills and experience to create quality content that helps people save and spend efficiently.
sources
- Federal Reserve. "Consumer Credit - G.19." Accessed February 4, 2025.
- National Credit Union Administration. "Credit Union and Bank Rates 2023 Q1." Accessed February 4, 2025.
The content on this page is accurate as of the posting/last updated date; however, some of the rates mentioned may have changed. We recommend visiting the lender's website for the most up-to-date information available.
Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, lender or other entity. Learn more about
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