What is this calculator?
See how each monthly payment reduces your loan balance.
What can you use it for?
Use this tool to compare a financial scenario using the assumptions you control. See how each monthly payment reduces your loan balance.
How to use it
- Enter loan amount.
- Enter annual interest rate (%).
- Enter loan term (years).
- Enter currency.
- Select Calculate (or Generate for random tools).
- Read the answer and any additional results below the form. Check the units and the limits of the method.
Formula and method
Principal repaid = payment − interest
After every payment, principal is subtracted from the balance. The result shows the first twelve payments and the final one.
Worked example
Loan amount: 1000000, Annual interest rate (%): 12, Loan term (years): 5, Currency: PKR. The result is PKR 22,244.4476849 (monthly payment).
Assumptions and limits
This is a mathematical estimate using the values you enter. Confirm real product terms, fees, tax rules and dates before acting on it.
Frequently asked questions
What inputs does the Amortization Calculator need?
Use loan amount, annual interest rate (%), loan term (years), currency. Read the answer and any additional results below the form. Check the units and the limits of the method.
What assumptions apply to the Amortization Calculator?
This is a mathematical estimate using the values you enter. Confirm real product terms, fees, tax rules and dates before acting on it.