Work out your loan repayments before you borrow.
Enter the loan amount, interest rate, and term to see your monthly repayment, total interest, and the full cost of the loan. Works for personal loans, car finance, and any fixed-rate borrowing.
Loan Calculator — How It Works
Enter the amount you want to borrow, the annual interest rate (APR), and the term in years. Click Calculate to see your monthly repayment, the total interest you will pay, and the total amount repayable over the full term.
What is APR?
APR stands for Annual Percentage Rate. It is the standard way of expressing the cost of borrowing and includes both the interest rate and any mandatory fees. By law, lenders in the UK must advertise their APR so you can compare products fairly. Always use APR — not just the headline interest rate — when comparing loans.
How is a loan repayment calculated?
Loan repayments use an amortisation formula. Each monthly payment covers the interest on the outstanding balance plus a portion of the principal. Early payments are weighted more towards interest; later payments repay more of the principal. The total monthly payment stays fixed throughout the term.
- What is the monthly repayment on a £10,000 loan?
- On a £10,000 loan at 6.9% APR over 3 years, monthly repayments are approximately £309, with total interest of around £1,112. Use this calculator to enter your exact loan details for a precise figure.
- Should I take a longer or shorter loan term?
- A longer term reduces your monthly payment but significantly increases the total interest you pay. A shorter term costs more per month but saves money overall. Generally, choose the shortest term you can comfortably afford.
- Can I repay a loan early?
- Yes, most UK lenders allow early repayment. However, some charge an early repayment fee — typically up to 2 months' interest. Check your loan agreement before overpaying. Clearing a loan early saves all remaining interest.
- What is the difference between a secured and unsecured loan?
- A secured loan uses an asset (usually your home) as collateral. Secured loans typically offer lower interest rates for larger amounts but your property is at risk if you miss payments. An unsecured personal loan does not require collateral but usually has a higher rate.
- How does my credit score affect my loan rate?
- Lenders offer their best advertised rates only to applicants with excellent credit scores. If you have a lower score, you may be offered a higher rate or declined entirely. Checking your credit report before applying (via Experian, Equifax, or TransUnion) helps you understand what you are likely to be offered.
Last updated: May 2026