How it works, options and use cases
This simulator computes constant payments from loan amount, annual rate, duration and payment frequency (monthly, quarterly or yearly).
Upfront fees (origination, guarantee…) can be rolled into principal to reflect a more realistic total cost. They slightly increase the payment.
Optional borrower insurance is modeled as an annual percent of initial principal and spread over periods; it is added to the payment.
Results show the per‑period payment, the total cost and total interest. An amortization table is available via CSV export.
Enable comparison B to put two scenarios side by side (rate/term/amount) and visualize differences in payment and total cost.
This is an educational estimate. For binding decisions, always compare with an official bank offer.
- Number of periods n = years × periods_per_year (12 monthly, 4 quarterly, 1 yearly)
- Rate per period i = (annual_rate_% / 100) ÷ periods_per_year
- Principal considered P = amount + fees
- Payment excl. insurance PMT_base = P × [ i × (1 + i)^n ] / [ (1 + i)^n − 1 ] (if i = 0, PMT_base = P / n)
- Insurance per period = (insurance_% / 100 × initial_amount) ÷ periods_per_year
- Total payment PMT = PMT_base + insurance_per_period
- Period k: interest = balance_{k−1} × i; principal = PMT_base − interest; balance_k = balance_{k−1} − principal