Loan details
Enter your figures to generate a repayment plan.
Results
Payment timeline
| Checkpoint | Payment | Interest | Balance |
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- Monthly repayment is your contractual payment excluding any overpayment.
- Compare total interest across different APRs and terms to gauge overall cost.
- If overpaying, check your lender’s terms for fees or overpayment limits.
- Use the schedule to see when your balance falls below key thresholds.
Assumptions and interpretation
This calculator is designed for standard fixed-term repayment loans paid monthly.
It assumes a steady APR across the term and regular monthly repayments made on time. If you include a fee, the tool reflects the fee treatment selected, but it does not model late charges, missed payments, payment holidays or variable-rate lending.
The estimate is suitable for planning, but lenders can round payments differently and may disclose total cost using slightly different conventions.
Worked UK example
Example only. Actual quotes depend on your lender and credit profile.
Example: borrowing £8,000 over 4 years at 8.4% APR. The calculator estimates the regular monthly repayment, the total repaid over the term, and how much of that total is interest and any fee cost.
How the Calculation Works
This calculator estimates a fixed-term personal loan repayment and total borrowing cost.
The tool uses the loan amount, APR, term and fee treatment to estimate the regular monthly repayment for a repayment loan. It then builds an amortisation path so you can see how much of each payment goes to interest and how much reduces the balance.
That matters because the monthly payment alone does not show the full cost of choosing a longer term or a higher APR.
Limitations
Real lender disclosures can vary slightly from a planning calculator.
This estimate does not account for late fees, missed payments, changing rates, insurance products, or lender-specific settlement methods. Small rounding differences are normal.
Use it to compare borrowing scenarios, not as a substitute for the final regulated credit agreement.
What to Do Next
Use the repayment estimate to judge affordability before applying.
Read Personal Loan APR and Term Explained to understand how term length changes the total cost, then compare with the Overpayment Impact Calculator if you expect to clear the loan faster.
If the payment competes with other priorities, also check the Savings Goal Calculator or Emergency Fund Planner before committing.
Who This Is For and Not For
This page is most useful when the loan structure is known and you want to judge affordability before applying or before borrowing more.
This calculator suits borrowers comparing realistic loan amounts, terms and APRs for an unsecured personal loan. It is useful if you want to see the trade-off between a lower monthly payment and the extra interest that comes with stretching the term.
It is less suitable where the rate is highly uncertain, where there are payment holidays or variable-rate features, or where the borrowing decision depends on whether you should borrow at all. In those cases, the payment estimate is only one part of the decision.
Common Mistakes and Edge Cases
Loan decisions often go wrong because the monthly payment is given too much weight.
A common mistake is extending the term just to reach a comfortable payment, without noticing how much extra interest that adds over several years. Another is basing the calculation on an advertised representative APR that you may not actually receive after a credit check.
Edge cases include loans with early settlement charges, optional payment breaks, or borrowers planning to overpay regularly. Those features can materially change the real cost versus the clean fixed schedule shown here.
What to Do With Your Result
Use the figures to decide whether the borrowing is affordable, proportionate and still worth doing.
If the monthly payment is clearly affordable and the total interest still feels reasonable for the purpose of the loan, the next step is to compare like-for-like quotes and check whether a shorter term gives a meaningfully better overall outcome. If the payment only becomes manageable when the term is stretched a long way, that is a sign to pause and rethink the amount borrowed.
Alternatives depend on the goal. For a short-term need, a savings drawdown may avoid interest entirely. For debt restructuring, compare a consolidation calculation rather than treating every borrowing need as a standard personal loan. For optional spending, delaying the purchase may be the cheapest result of all.
FAQs
Common questions about UK personal loans
What APR should I use?
Use the representative APR from the loan quote you’re comparing. Your personal rate may differ based on eligibility and affordability checks.
Why does my lender quote a slightly different monthly payment?
Lenders can calculate interest daily, round differently, and apply fees in different ways. Small differences are normal, especially when fees are added to the balance.
Does overpaying always reduce interest?
Usually, yes. Paying down principal earlier reduces the balance on which interest is charged. Some loans have overpayment limits or charges, so check your terms.
What happens if the APR is 0%?
If APR is 0%, your monthly repayment is the loan amount (plus any financed fee) divided evenly across the term. Overpayments still shorten the term.
Should I choose a longer term for a lower payment?
A longer term often lowers the monthly payment but increases total interest. Compare total cost and ensure the payment is affordable without stretching the term unnecessarily.
Is a personal loan cheaper than credit card borrowing?
It depends on the APR and how quickly you can repay. A lower-rate loan can reduce interest, but you should also consider fees, flexibility, and whether a 0% balance transfer is available.
Can I use this for debt consolidation?
Yes. Enter the consolidation amount, APR, and term to estimate a repayment plan, then compare it with your current debt costs. Always consider eligibility and any early repayment charges on existing debt.