Calculator
Example Data Table
Example scenario: 120,000 loan, 6.2% annual rate, 7 years, monthly payments, and a 35,000 final balloon.
| Period | Date | Starting Balance | Regular Payment | Interest | Principal Paid | Ending Balance |
|---|---|---|---|---|---|---|
| 1 | 2026-03-29 | 120,000.00 | 1,430.73 | 620.00 | 810.73 | 119,189.27 |
| 2 | 2026-04-29 | 119,189.27 | 1,430.73 | 615.81 | 814.92 | 118,374.36 |
| 3 | 2026-05-29 | 118,374.36 | 1,430.73 | 611.60 | 819.13 | 117,555.23 |
| 4 | 2026-06-29 | 117,555.23 | 1,430.73 | 607.37 | 823.36 | 116,731.88 |
| 5 | 2026-07-29 | 116,731.88 | 1,430.73 | 603.11 | 827.61 | 115,904.26 |
| 6 | 2026-08-29 | 115,904.26 | 1,430.73 | 598.84 | 831.89 | 115,072.38 |
Formula Used
For standard end-of-period balloon loans without extra payments, the regular payment can be written as:
Payment = [P − B / (1 + r)n] × r / [1 − (1 + r)−n]
Here, P is the principal, B is the balloon amount, r is the periodic interest rate, and n is the total number of payments.
If the payment is known and the balloon is unknown, the relationship becomes:
Balloon = P(1 + r)n − Payment × [((1 + r)n − 1) / r]
When the interest rate is zero, the payment reduces to (P − B) / n. For beginning-of-period timing or extra payments, this page uses a period-by-period recurrence to keep the results accurate.
How to Use This Calculator
- Choose whether you want to solve for the regular payment or the final balloon.
- Enter the loan amount, annual rate, term length, and payment frequency.
- Pick end-of-period or beginning-of-period timing for your repayment structure.
- Enter a target balloon amount or percentage, or supply the regular payment.
- Add any recurring extra payment and choose the schedule start date.
- Press the button to see the result summary, amortization schedule, and Plotly graph.
- Download the schedule as CSV or PDF when you need a report.
FAQs
1. What is a balloon payment?
A balloon payment is a larger balance due at the end of a loan. Regular installments are lower than full amortization, so part of the principal remains unpaid until maturity.
2. Why are balloon loan payments lower?
They are lower because the regular payment does not retire the entire principal. Some balance is deferred to the final date, which reduces each earlier installment.
3. What happens if I add extra payments?
Extra payments reduce principal faster, which lowers the remaining balloon or can fully repay the loan before maturity. This calculator includes that effect period by period.
4. Can I solve for payment or balloon?
Yes. Choose the mode that matches your problem. You can either compute the regular installment from a target balloon, or compute the balloon from a known installment.
5. Does payment timing matter?
Yes. Beginning-of-period payments reduce the balance earlier, so less interest accrues. End-of-period payments leave the balance outstanding longer and usually produce a larger balloon.
6. How is the periodic rate calculated?
The periodic rate is the annual nominal rate divided by payments per year. A 6% annual rate with monthly payments becomes 0.5% per month.
7. Why might my balloon become zero?
If the regular and extra payments are large enough, the loan may be fully repaid by or before maturity. In that case, no balloon remains due.
8. What do the CSV and PDF exports include?
They include summary results and the amortization schedule shown on the page. This makes it easier to share, archive, or compare different loan structures.