Mortgage & loan calculator
Enter the principal, the interest rate and the term to see the monthly payment of your mortgage or personal loan, the total interest and the year-by-year amortisation table (annuity/French method, the one used across Europe).
How the monthly mortgage payment is calculated
Most mortgages use the annuity method (also called the French amortisation system): the monthly payment is constant, but its make-up changes over time. At the start, most of the payment is interest; as the years pass, the share going to principal grows. The formula is payment = C·i / (1 − (1+i)⁻ⁿ), where C is the principal, i the monthly rate and n the number of payments.
The amortisation table shows, year by year, how much you pay in interest, how much principal you repay and the remaining balance. It is very useful for weighing up an early repayment: the sooner you overpay, the more interest you save.