How Long Will It Take to Reimburse Your Loan and its Interest?
Whether it is the balance on your credit card or your mortgage, if you know the balance left to be paid on your loan, its monthly payment and the interest rate, you can find out how long it will take you to reimburse it completely.
The following calculator will do the job for you; you just have to enter the required data in order to obtain the number of monthly payments needed to clear off the loan balance, as well as the total number of years needed to reimburse it.
The calculator will also give you the future interest left for you to pay, i.e. the total sum of interest included in all your future monthly payments. This information is very useful, giving you insight into how much money you could save if you pay off the loan earlier.
Future loan interest vs. Prepayment penalty
Some agreements may penalize an anticipated payment. In these cases, you could compare the amount of the prepayment penalty with the future loan interest included in the regular payments, in order to evaluate what is most profitable.
The total reimbursement of the balance is not always the best option, especially towards the end of the term, because the interest left to be paid could actually be smaller than the penalty itself, so paying the loan earlier would turn out to be more expensive than continuing the regular payments. This calculator is an important tool for these kind of decisions on your loan.
Please change the suggested values with your own amounts in the blue text boxes.
Our financial calculators start with default values to suggest what to enter typically in each modifiable field, displayed as blue text boxes, in order to simulate a common scenario. Please change those values with your own. To keep track of your changes, the blue box will turn gray after they are modified.
You will also notice that our calculators behave like financial applications and recalculate automatically all values with each change instead of having to click on some extra button or going to a new result page, this is intentional and helps understand the effect of one change with the overall result in a more dynamic and instantaneous manner.
However, charts in our older calculators are not updated automatically, so if there is an "Update" button next to the chart, make sure to click on it after you make a change before you analyze it.