Installment Loan Calculator
Use an installment loan calculator to determine the amount you'll pay each month toward an installment loan.
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Head of Content, Personal & Student Loans NerdWallet’s installment loan calculator shows you a monthly installment loan payment, total interest costs and payoff date based on the loan amount, rate and repayment term you enter.
Unlike credit cards or credit lines, you borrow an installment loan in a lump sum and repay it over months or years. These loans have fixed interest rates, meaning the monthly payment won’t change during repayment.
Use this installment loan calculator to estimate your monthly payments and help you decide if an installment loan is the right choice for you.
Installment loan calculator
Loan details
Your loan estimate
Monthly payment
$212.47
Total principal
$10,000
Total interest payments
$2,748.23
Total loan payments
$12,748.23
Payoff date
07 / 2030
Show amortization schedule
How to use this calculator
- Enter your loan amount ($): Enter the amount you want to borrow. Keep in mind, borrowers with strong credit, high incomes and low debt have the best chances of qualifying for a larger loan.
- Enter your interest rate (%): Enter the interest rate you expect to receive. Note: This installment calculator only works for loans with fixed rates, not those with variable rates. Most installment lenders consider your credit and financial profiles, in addition to any collateral, when deciding your rate. (A chart of average APRs by credit score range for personal loans is available below.)
- Choose a loan term (months): Decide how long you’ll want to repay the loan. A longer repayment term will have lower monthly payments but cost more in total interest, so find a term that keeps payments low without inflating interest costs too much.
- Add a repayment start date (mm/yyyy): Enter the date you expect to make your first loan payment. Many lenders require the first payment on an installment loan 30 to 60 days after you receive the funds.
» MORE: Best installment loans
How installment loan rates and terms affect monthly payments
Your interest rate and loan term directly affect how much you pay toward your loan each month. Here’s how:
Interest rate: A higher interest rate means your monthly payments will be higher and you’ll pay more in total interest. Many personal loan lenders let you pre-qualify online to find the lowest rate without affecting your credit score. Here are the average personal loan rates by credit score range:
| Borrower credit rating | Score range | Estimated APR |
|---|---|---|
| Excellent | 720-850. | 13.31%. |
| Good | 690-719. | 16.48%. |
| Fair | 630-689. | 20.23%. |
| Bad | 300-629. | 20.62%. |
Source: Average rates are based on aggregate, anonymized offer data from users who pre-qualified through NerdWallet from May 1, 2025, through May 31, 2025. Rates are estimates only and not specific to any lender. The lowest credit scores — usually below 500 — are unlikely to qualify. Information in this table applies only to lenders with maximum APRs below 36%.
Term: Your term also affects the loan’s total interest costs and monthly payment. A shorter-term loan will cost more each month, but you’ll save on interest charges.
Modify the rate and term in this calculator to see how the loan costs change.
Types of installment loans and how to calculate payments
Any loan you get in a lump sum and repay in equal bi-weekly or monthly payments is an installment loan. The following loans are all examples of installment loans.
Personal loans
Unsecured personal loans are from $1,000 to $100,000 and have rates from about 6% to 36%. Loan terms are usually two to seven years, and payments are often made in monthly installments. Most personal loans don’t require collateral to secure the loan. Instead, the lender uses your credit and financial information to decide whether you qualify.
» MORE: Calculate personal loan payments
Auto loans
Auto loans are for the cost of the vehicle you’re purchasing, minus your down payment. Rates are generally lower than personal loans and repayment terms can reach seven years, but NerdWallet recommends a term no longer than three years for used cars and five years for new cars. With an auto loan, the vehicle is collateral, meaning the lender can take the car if you miss payments.
Mortgages
Mortgages are secured loans used to purchase a home, which is used as the collateral. They often have fixed rates over terms of 15 or 30 years. Your monthly mortgage payments will typically include a percentage of your property taxes and home insurance premiums, which is held in an escrow account until those payments are due.
Home equity loans
A home equity loan is a second mortgage with a fixed interest rate. Loan amounts are usually up to 85% of your home’s value minus what you owe on the first mortgage. Repayment terms are typically five to 20 years, though they could go up to 30 years. Your home is collateral for a home equity loan.
Student loans
Student loans are unsecured installment loans used to cover the cost of postsecondary education. Some student loans are federal loans backed by the government and have lower interest rates, while others are offered by private lenders and tend to have higher interest rates. Repayment terms tend to range from 10 to 20 years.
Buy now, pay later loans
“Buy now, pay later” companies offer low- or no-interest financing on purchases made in-store or online. These payment plans are structured as installment loans. The BNPL app effectively provides a small, short-term loan that you typically repay in four equal, bi-weekly payments, the first of which is often due at the time of purchase.
» MORE: What is buy now, pay later?
High-interest installment loans
Some installment loans can have triple-digit interest rates, which can make them expensive and difficult to repay. These high-interest loans can be a few hundred dollars, but some lenders offer as much as $10,000 or $15,000. Repayment terms span from six months to five years.
High-interest lenders may not check your credit or review your income and expenses to determine whether you can repay the loan. Consider this type of loan a last resort when you’ve exhausted all other options.
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- 1. National Credit Union Administration. Payday Alternative Loans Final Rule. Accessed Apr 17, 2025.
- 2. Consumer Financial Protection Bureau. What is a payday loan?. Accessed Apr 17, 2025.
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- 4. National Bureau of Economic Research. Prodigals and Projecture: An Economic History of Usury Laws in the United States from Colonial Times to 1900. Accessed May 2, 2025.
- 5. Internal Revenue Service. Retirement Topics - Plan Loans. Accessed Apr 8, 2025.
- 6. Federal Register. Federal Interest Rate Authority: A Rule by the Federal Deposit Insurance Corporation on 07/22/2020. Accessed May 2, 2025.
- 7. Experian and Oliver Wyman. Financial Inclusion and Access to Credit. Accessed Jan 23, 2025.
- 8. Federal Reserve. Military Lending Act. Accessed May 2, 2025.
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- 11. Administrative Office of the U.S. Courts. Bankruptcy Basics. Accessed Apr 8, 2025.
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- 13. Center for Responsible Lending. Unsafe Harbor: The Persistent Harms of High-Cost Lending. Accessed Jun 6, 2025.
