Turn any loan amount, APR and term into a clear monthly repayment — plus the total interest and the full cost of borrowing. Adjust the rate or term to see how much you could save.
Repayment loan · fixed APR
A repayment loan spreads the amount you borrow evenly across the term so the balance reaches zero by the end. Each monthly payment covers the interest due that month plus a portion of the capital. The maths is the standard amortisation formula:
where P is the amount borrowed, r is the monthly rate (APR ÷ 12) and n is the number of monthly payments (years × 12). The calculator runs this and adds up the interest for you.
Two figures drive the total cost of a loan — the APR and the term. Here's a £10,000 loan over 5 years at different rates:
| APR | Monthly | Total interest |
|---|---|---|
| 4.9% | £188 | £1,290 |
| 7.9% | £202 | £2,137 |
| 12.9% | £227 | £3,615 |
| 19.9% | £264 | £5,857 |
Lenders advertise a representative APR, which only 51% of accepted applicants need actually receive. Your personal rate depends on your credit score, the amount and the term. For larger sums secured against a property, compare against a mortgage, and for vehicles see the dedicated car finance calculator. Always check the repayment fits your take-home pay.
A £10,000 loan at 7.9% APR over 5 years costs about £202 a month. You repay roughly £12,137 in total, of which around £2,137 is interest.
It uses the amortisation formula M = P × r(1+r)ⁿ / ((1+r)ⁿ − 1), where P is the loan, r the monthly rate and n the number of payments. Each instalment pays that month's interest plus a slice of capital.
APR is the total yearly cost of borrowing — interest plus most compulsory fees — shown as a percentage. A representative APR lets you compare loans fairly, though your actual rate may differ.
Usually yes. Under the Consumer Credit Act you can settle early, though the lender may charge up to one to two months' interest as an early-settlement fee. Paying off early still cuts the total interest.
