Loan calculator

MoneySuperMarket's loan calculator is designed to give you an idea how much a personal loan is going to cost.

Your monthly repayment will be

The total amount repayable will be , therefore the loan will cost you

You could afford to borrow up to

The total amount repayable will be , therefore the loan will cost you

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Calculate and compare loans: Find out how

Loan calculator guide

 

MoneySuperMarket’s calculator can work out the cost of loans that can be paid back over periods of between one and 10 years.

You simply put in the amount you want to borrow, the duration and the likely interest rate. You’ll see examples of what lenders are charging on their advertisements, although the rate you pay will depend on your personal circumstances.

You can compare the cost of different deals by changing the loan duration, amount you want to borrow or the interest rate. Or you can enter your monthly budget and let the calculator tell you know how much you can afford to borrow and over what length of time.

BE AWARE MISSING PAYMENTS ON A LOAN WILL HAVE SEVERE CONSEQUENCES AND MAY MAKE OBTAINING CREDIT MORE DIFFICULT IN THE FUTURE.

SECURED LOANS: YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE, LOAN OR ANY OTHER DEBT SECURED ON IT.

WARNING: LATE REPAYMENT CAN CAUSE YOU SERIOUS MONEY PROBLEMS.

Personal loans

 

Many people take out a personal loan to cover the cost of a large purchase. Big items such as a car, or to fund home improvements, or perhaps to pay for a wedding or bumper holiday.

Unless you’ve got substantial savings, a loan is often the only way to get hold of a lump sum – but you need to make sure you understand exactly what you’re signing up for.

Loan limits

 

Personal loans usually have a maximum amount you can borrow, typically around £25,000. If you wanted to borrow more than that, then you would need to put down some sort of security – such as your home. But this can be complicated for home owners, and is impossible if you rent your home.

Also, if you defaulted on the loan, you could lose your property.

Loan rates are tiered, so the more you borrow, the lower the rate of interest you’ll be charged. If you get a loan of £1,000, then you will pay a higher rate of interest than if you borrow £10,000.

It can therefore be cheaper to borrow more if it pushes you into a tier where loan interest rates are lower. For example, rates sometimes plummet if you borrow between £7,500 and £15,000. So, if you want to borrow £7,000, then it could be more cost-effective to take out a loan for £7,500 instead.

However, don’t get carried away – while the thought of a large lump sum sitting in your bank account might seem appealing, you’ll have to pay it all back eventually.

Most loan terms run from a year up to five years, with some going up to 10 years. The longer the loan term you choose, the lower monthly payments will be, but the more interest you will pay overall. 

Also, interest rates are typically fixed, so the amount you pay each month will remain the same throughout the loan term.

Where to find personal loans

 

Compare loans through MoneySuperMarket’s loans channel, to find an appropriate loan for your needs. Before you apply for the loan, it is a good idea to check whether there are any arrangement fees or early redemption penalties if you should pay off the balance before the end of the term.

Why your credit score matters

 

If you decide to apply for the loan, then lenders will carry out a credit check to find out how you may have managed debt previously.

It is worth noting that your application for a loan may be refused if you have missed any payments in the past, or you could be charged a higher interest than the one advertised. Plus, the process could also cause further damage to your credit rating if you are rejected.

By using MoneySuperMarket’s Smart Loans Search facility allows you to check how likely you are to be accept for a loan. Pre-checking your eligibility in this way will help preserve your credit rating.

Moneysupermarket is a credit broker – this means we’ll show you products offered by lenders. We never take a fee from customers for this broking service. Instead we are usually paid a fee by the lenders – though the size of that payment doesn’t affect how we show products to customers.