Test three loan scenarios with flexible fee assumptions. Review payments, APR, and lifetime cost instantly. Find the most affordable option using deeper comparison metrics.
Large screens show three comparison columns. Smaller screens show two columns, then one on mobile.
1) Periodic interest rate
i = (1 + r / c)c / p − 1
r = nominal annual rate, c = compounding periods per year, p = payment frequency per year.
2) Base payment
Payment = P × i ÷ (1 − (1 + i)−n)
P = principal and n = total payment periods.
3) Amount financed
Amount Financed = Principal − Upfront Fees + Lender Credits
4) APR estimation
Amount Financed = Σ [Total Periodic Payment ÷ (1 + a)t]
The calculator solves for periodic APR rate a with bisection, then annualizes it as APR = a × payment frequency.
5) Effective annual rate
EAR = (1 + a)p − 1
This model assumes equal scheduled payments and fees over the term entered.
| Loan | Amount | Rate | Term | Origination Fee | Closing Fee | Service / Payment | Insurance / Payment | Points | Lender Credit |
|---|---|---|---|---|---|---|---|---|---|
| Loan A | $25,000 | 7.20% | 60 months | $300 | $95 | $0 | $0 | 0.00% | $0 |
| Loan B | $25,000 | 6.85% | 72 months | $650 | $150 | $3 | $0 | 0.00% | $0 |
| Loan C | $25,000 | 7.95% | 48 months | $0 | $125 | $0 | $0 | 0.00% | $100 |
APR estimates the yearly borrowing cost after combining interest, upfront fees, and recurring charges. It gives a truer comparison than rate alone.
APR rises when lenders charge origination fees, points, monthly service fees, or insurance. Those costs reduce your net proceeds while payments stay the same.
No. Longer terms often lower payments but increase total interest and overall finance charge. Compare payment with APR and total cost together.
Yes. The calculator is designed for different terms, fee structures, and payment frequencies. Cost per $1,000 financed helps normalize the comparison.
Include fees tied directly to getting or maintaining the loan, such as origination, filing, service, insurance, or discount points if applicable.
Lender credits increase the amount financed received by the borrower. That can reduce APR when the credit offsets other upfront borrowing costs.
No. This tool is an analytical estimate for comparison. Final lender disclosures may use regulated assumptions, rounding, and product-specific rules.
It is strong for fixed-payment loans with stable fees. Accuracy falls when products have balloon payments, irregular schedules, teaser rates, or changing insurance.
Important Note: All the Calculators listed in this site are for educational purpose only and we do not guarentee the accuracy of results. Please do consult with other sources as well.