📑 Amortization Calculator
How It Works
Calculate loan payment, total interest, and total repayment for an amortizing loan. Use Amortization Calculator to explore how the main financial inputs change the payment, cost, return, or cash-flow result before making a decision.
The result is most useful when the inputs match the definitions used by this calculator. For this tool, the underlying method is: M = P×r(1+r)^n / ((1+r)^n − 1). Compare the output with the worked example, then change one meaningful input at a time to see how the result responds.
Understanding Amortization
Amortization is a financial calculation that uses the inputs shown above to estimate a payment, amount, rate, return, cost, or planning value.
Keep in mind: Financial calculations depend on assumptions and may not include every fee, tax, market change, or contractual term. Review the amortization inputs and units before relying on the result.
When to Use This Calculator
Use Amortization Calculator to explore how the main financial inputs change the payment, cost, return, or cash-flow result before making a decision.
Practical tip: For this Amortization Calculator, change one financial assumption at a time—such as the rate, amount, contribution, fee, or tenure shown in the inputs—so you can see which factor drives the result.
Formula
M = P×r(1+r)^n / ((1+r)^n − 1)
Example
A $20,000 loan at 7% for 5 years has a fixed monthly payment.