OmniCalcsPersonal Loan Calculator
Compare personal loan offers with payments, total cost and an APR that reflects origination fees.
How to Use This Personal Loan Calculator
Enter how much you want to borrow, the advertised interest rate, the term and any origination fee. The calculator shows your monthly payment plus an effective APR that accounts for the fee, so you can compare offers honestly.
- Origination fee โ a one-time charge (often 1-8%) that is subtracted from the loan proceeds.
- Effective APR โ the true annual cost of the loan given the fee, useful for comparing lenders.
- Total cost โ all payments combined; the real price of the loan.
- Proceeds โ the money that actually lands in your account after the fee.
Practical Example
Suppose you borrow $15,000 at 9% for 4 years with a 5% origination fee ($750):
- You receive $14,250, but repay based on $15,000
- Monthly payment โ $373
- Total interest + fee โ $4,900
- Effective APR โ 10.2% โ higher than the stated 9%
What Your Results Mean
- Monthly payment โ your fixed payment over the term.
- Effective APR โ the true annual cost including the origination fee; compare this across offers.
- Total cost โ payments plus fees; the full price of the loan.
Frequently Asked Questions
What is an origination fee?
It is a one-time fee lenders charge to process a loan, usually 1-8% of the amount borrowed. It is typically deducted from the loan proceeds rather than added to your payments.
Why is the APR higher than the interest rate?
APR includes the origination fee. Because you receive less than the face amount while paying the same monthly payment, the effective annual cost is higher than the stated rate.
What is a good interest rate for a personal loan?
Rates are driven by credit score, income and term. Well-qualified borrowers can often find rates in the single digits, while others may be quoted 15% or more.
Should I choose a longer or shorter term?
A shorter term has higher payments but far less total interest. A longer term lowers payments but you pay more overall โ use this tool to compare.
How is the effective APR calculated here?
The calculator finds the monthly rate that makes a payment on the reduced proceeds (loan minus fee) equal to your actual payment, then annualizes it.
Learn More
Read our guide on the math behind monthly payments: How Loan Payments and Amortization Work.