This personal loan calculator helps you estimate your monthly payments and the total cost of the loan based on the amount, interest rate, and loan term.

Formula

Monthly Payment = Loan Amount × Monthly Interest Rate / (1 – (1 + Monthly Interest Rate)^-Total Payments)
Total Payment = Monthly Payment × Total Payments

Example Calculation

For a loan of ZAR 100,000 with an interest rate of 10% for 5 years, the monthly payment is ZAR 2,124.70, and the total loan payment is ZAR 127,482.00.

Why It Matters

Understanding your loan payment details can help you plan your finances and choose the best loan option for your needs.

Smart Strategy

Choose a loan term that balances affordable monthly payments with a manageable total loan cost.

FAQs

How can I reduce my loan payments? Opt for a longer loan term or a lower interest rate to reduce your monthly payment.

Does the loan term affect the total cost? Yes, longer loan terms usually result in lower monthly payments but a higher total payment due to the interest.