Personal Loan Payoff Calculator
Input your personal loan terms and rate to calculate how much sooner you will be debt-free by adding extra monthly contributions.
Loan Details
Accelerated Savings
Redirecting your saved monthly payments ($0/mo) for the 0 years you saved at a 7% annual return accumulates this wealth.
Accelerate Your Personal Loan Payoff Schedule
Our Personal Loan Payoff Calculator is built for individuals with unsecured signature loans, debt consolidation loans, or home improvement loans. By simulating extra monthly payments, you can calculate the exact month you will eliminate your personal debt and see your interest savings.
How Personal Loan Prepayment Math Works
Personal loans are typically fixed-rate installment loans. Interest compounds monthly on the outstanding balance:
When you make an extra payment, 100% of that extra amount goes directly to paying down the principal balance. This reduces the balance faster, which in turn reduces the interest charged in all following months. For consumer protection guidelines on personal loans, check the Consumer Financial Protection Bureau (CFPB) website.
Worked Numerical Example
Here is a payoff comparison for a personal loan of $25,000 at a 9.5% interest rate over a 5-year term, with an extra payment of $120/month:
- Personal Loan Principal: $25,000
- Interest Rate: 9.5% (APR)
- Term: 5 Years (60 Months)
- Standard Monthly Payment: $525.04
- Extra Monthly Payment: $120.00
| Payoff Option | Monthly payment | Total Interest Paid | Total Cost of Loan | Payoff Timeline |
|---|---|---|---|---|
| Standard Schedule | $525.04 | $6,502.50 | $31,502.50 | 5.0 Years |
| Accelerated Prepayment | $645.04 | $4,874.12 | $29,874.12 | 4.0 Years |
| Total Savings | +$120.00 / month | $1,628.38 Saved | $1,628.38 Saved | 1.0 Year Shaved Off |
When to Use This vs. Our Other Calculators
To select the most appropriate calculator for your planning:
- Use the Loan Calculator to model standard amortizing loans with simple extra monthly payments.
- Use the Debt Payoff Calculator if you have multiple personal loans or combined debts.
- Use the Credit Card Payoff Calculator if you have high-interest revolving credit card balances.