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Loan Comparison Calculator

Enter up to three loan offers with their amount, interest rate, term and up-front fees to compare the monthly payment, total interest and total cost side by side. A rate that includes fees shows when a lower headline rate is really dearer: 10,000 at 5% with a 500 fee costs more than 6% with no fee over three years.

Runs entirely in your browser

Updated

Please note

This comparison is a general illustration, not financial advice. Lenders apply their own fees, rounding and day-count rules, so real figures will differ; check each offer's terms before committing.

How to use the Loan Comparison Calculator

  1. 1Enter each offer's amount, annual interest rate, term in years and any up-front fees.
  2. 2Compare the monthly payment, total interest and interest plus fees.
  3. 3Check the rate including fees to compare offers with different fees fairly.
  4. 4Read the summary for the offer that costs least overall.

How it works

Each loan is a standard level-payment loan: payment = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), with r the annual rate ÷ 12 and n the number of months. Total interest is the payments minus the amount borrowed, and the total cost adds the up-front fees.

The rate including fees is found by working out which annual rate would make the same payments repay only the money you actually receive after fees. It is calculated by bisection and quoted as a nominal annual rate (monthly rate × 12), the convention used for US APR disclosures; UK-style APRs compound it and come out slightly higher. Lenders' official APRs can include other charges as well.

The lowest monthly payment is not always the cheapest loan: a longer term lowers the payment but usually raises the total interest. Comparing total cost answers “which costs least”, while the payment answers “which can I afford each month”.

Insurance, early-repayment charges and variable rates are not modelled. Check each offer's full terms.

The formula

payment = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1) total cost = payment × n − P + fees
P
amount borrowed
r
monthly rate: annual rate ÷ 12 ÷ 100
n
number of monthly payments

Worked example

10,000 over 3 years: 6% with no fee, or 5% with a 500 fee

  1. 6%, no fee: payment 304.22, interest 951.90, total cost 951.90
  2. 5%, 500 fee: payment 299.71, interest 789.52, total cost 1,289.52
  3. Rate including the fee: about 8.46%

Result: The 5% loan has the lower payment but costs about 338 more overall.

Tips and common mistakes

  • Compare loans over the same term first, then see what a longer term would add.
  • Ask each lender for the total amount repayable — it should match this calculator closely.
  • Check for early-repayment charges if you might pay the loan off sooner.
  • A fee paid up front and a fee added to the loan cost different amounts; model the one you will actually have.

Frequently asked questions

Is a lower interest rate always cheaper?
No. Fees can outweigh a lower rate, especially on smaller or shorter loans. Compare the total cost or the rate including fees.
Should I choose the lowest monthly payment?
Only if affordability each month matters most. A longer term lowers the payment but usually adds a lot of interest; check the total cost too.
What if the fee is added to the loan?
Enter the larger amount you will actually borrow as the loan amount and set the fee to 0, so the interest on the fee is included.
Why is the rate including fees different from the lender's APR?
An official APR may include other compulsory charges and, in some countries, is compounded. Use this figure to compare offers on the same basis, and the lender's APR for the full picture.
Can I compare a car loan and a personal loan?
Yes. Enter each offer's figures; the comparison works for any fixed-rate loan with level monthly payments.
Are my figures saved?
No. Everything is calculated in your browser and nothing is stored.
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