Loan & Car Finance Calculator
Enter the price or loan amount, any deposit, the APR and the term. For PCP car finance, add the final payment too.
Your loan details
The deposit and final payment are optional.
Your results will appear here
Enter the price or amount you want to borrow, the APR and the term, then press Calculate to see your monthly payment and the total cost.
How loan repayments are calculated
Most personal loans and car finance deals are repaid in equal monthly payments. Each payment covers that month's interest, and the rest reduces what you owe, so you pay more interest early on and less towards the end.
M = (P − B ÷ (1 + r)ⁿ) × r ÷ (1 − (1 + r)⁻ⁿ)
The monthly rate comes from the APR (Annual Percentage Rate). In the UK, APR is an effective annual rate, so the calculator converts it as (1 + APR)1/12 − 1 rather than simply dividing it by 12.
Personal loans, HP and PCP
- Personal loan: you borrow a fixed amount and repay it, with interest, over the term. Leave the deposit and final payment blank.
- Hire purchase (HP): you pay a deposit, then the rest of the car's price in monthly payments. You own the car after the last payment. Enter the deposit and leave the final payment blank.
- Personal contract purchase (PCP): like HP, but part of the price is left as a large final payment at the end. Monthly payments are lower, but you pay interest on the final payment too. Enter the deposit and the final payment.
Worked examples
Personal loan: borrowing £10,000 at 7.9% APR over 5 years costs £200.99 a month, with £2,059.19 of interest in total. Over 3 years instead, the payment rises to £311.65 but the interest falls to £1,219.35.
PCP car finance: a £20,000 car with a £3,000 deposit, 9.9% APR over 48 months and a £8,000 final payment costs £289.19 a month. Including the deposit and final payment, you would pay £24,881.25 in total, of which £4,881.25 is interest.
Open the personal loan or the PCP example in the calculator.
Frequently asked questions
Why is my quote slightly different?
Lenders can include fees, round differently or calculate interest daily, so their figures may differ slightly from these. The APR they quote already includes any compulsory fees, so it is the best way to compare deals.
What happens at the end of a PCP deal?
You can usually pay the final payment and keep the car, hand the car back (as long as it is within the agreed mileage and condition), or use any equity towards a new deal. Check your agreement for the details.
Is a longer term better?
A longer term means lower monthly payments, but you pay interest for longer so the total cost is higher. The worked example above shows how much difference the term makes.
Can I pay off a loan early?
You usually have the right to repay a consumer loan early. Your lender can give you a settlement figure, which may include a small amount of extra interest.
Does this include fees, insurance or other costs?
No. It covers the price, deposit, interest and any final payment. Arrangement fees, option-to-purchase fees, insurance and running costs are not included.