How it is calculated
Each payment covers the month’s interest and pays down part of the principal. The calculator follows the amortization schedule up to today and shows the principal left.
Example
A $25,000 loan at 8% over 48 months, with 12 payments made: the balance is about $19,476.51. The 36 remaining payments add up to $21,971.63, so paying off now saves about $2,495 in interest.
Frequently asked questions
Is there a prepayment penalty?
Some loans have one. Check your contract, and ask the lender for an official payoff quote.
See also
Results are estimates for information only and are not financial, legal or medical advice. Rates, taxes and fees vary — confirm with a professional or your lender.