💳 Loan Calculator
A personal loan is repaid in fixed monthly instalments: the annuity. Enter the amount, rate and term to see your monthly payment and total interest cost.
Monthly payment
300,57 kr.
Total to repay
18.034,15 kr.
Total interest cost
3.034,15 kr.
Find the monthly rate: 7,5% ÷ 12 = 0,625%
Find the number of instalments: 5 × 12 = 60
Apply the annuity formula: = 300,57 kr.
Formula
M = P × i ÷ (1 − (1 + i)⁻ⁿ)
This is the same annuity formula used for a mortgage: you pay the same amount every month, with the interest share higher at first and falling over time as the repayment share rises.
What the variables mean
- M
- Monthly payment
- P
- Loan amount
- i
- Monthly interest rate
- n
- Number of monthly instalments
tips
- Compare loans on total interest cost, not just the monthly payment.
warnings
- Some loans charge origination fees or have a variable rate; this calculator assumes a fixed rate with no extra costs.
commonMistakes
- Looking only at the monthly payment and ignoring total interest cost over the full term.
- Choosing a longer term to lower the monthly payment, without realising total interest rises as a result.
useCases
- Estimating the monthly payment on a personal loan for a car or renovation.
- Comparing different terms before taking out a loan.