Loan Payoff Calculator
Enter your current loan balance, interest rate, and monthly payment to see your payoff date. Add an extra monthly payment to discover how much interest you can save.
How Extra Payments Work
Every extra dollar you pay goes directly to principal, reducing the balance on which interest is calculated. This creates a compounding benefit — each reduced principal dollar saves you its interest cost every remaining month of your loan.
Frequently Asked Questions
How much do extra loan payments save?
Extra payments reduce your principal faster, which means less interest accrues each month. Even $50–$100 extra per month on a car loan or personal loan can save hundreds in interest and shave months off your payoff date.
What happens if my payment doesn't cover the interest?
If your monthly payment is less than the monthly interest charge (balance × monthly rate), your loan balance actually grows — this is called negative amortization. You need to increase your payment to make progress.
Should I pay off loans early or invest?
If your loan's interest rate is higher than your expected investment return, paying it off early is usually the better financial move. If your rate is low (under 4–5%), investing the extra money may yield more over time.