Loan calculator
Amount, APR, term: the monthly payment and what the borrowing truly costs, with the early-settlement saving shown alongside.
Guide
How to use it
- Enter the amount you want to borrow.
- Enter the APR from the offer, the representative APR advertised is only guaranteed to 51% of accepted applicants, yours may differ.
- Pick the term. Shorter costs more monthly and less overall, the total interest tile makes the trade visible.
- Open the year-by-year table to see the balance fall, and read the early repayment note underneath.
Examples
Reading a loan offer
The default example: about £210 a month and £2,700 total interest. The same loan over 3 years: £320 a month but only £1,590 of interest, term is the biggest lever you control.
Car dealers sometimes quote "flat rate" interest, which ignores the falling balance and understates cost by nearly half. APR is the legally comparable number, compare nothing else.
Rolling cards into a loan can halve the interest rate, but stretch the term and the total paid can still rise. Run both shapes here before signing.
Method
How it works
Payments follow the standard amortising formula at the APR’s monthly equivalent: interest accrues on the outstanding balance, so early payments are interest-heavy and the table shows the crossover. Totals are payment × months, with total interest the difference against the amount borrowed.
The early settlement note uses the UK consumer credit position: you can repay early at any time, with charges capped at roughly one to two months’ interest, clearing a loan halfway typically saves most of the remaining interest.
FAQ
Frequently asked questions
What is a good APR for a personal loan?
Rates step with amount: mid-size loans (£7,500 to £15,000) price keenest, often single digits for strong credit. Small loans and weak files price into the teens and beyond.
Why might my rate differ from the advert?
Representative APR must only be offered to 51% of accepted applicants. The other 49% get personal pricing, usually higher, after the credit check.
Does checking rates hurt my credit score?
Soft-search eligibility checkers do not. Full applications leave a hard search, cluster them within a couple of weeks if you must shop by applying.
Can I overpay or settle early?
Yes, by law (Consumer Credit Act): partial or full early settlement whenever you like, with interest recalculated and any charge capped at about 58 days’ interest.
Secured or unsecured?
These calculations model unsecured personal loans. Securing against your home lowers rates and raises stakes, missing payments risks the house, treat it as a different product entirely.
Is total repaid the number to minimise?
It is the honest cost, but affordability comes first: a term you can actually sustain beats a heroic one you default on. The monthly and the total, together, are the decision.
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