How this number is made
A lower payment can hide a longer term and more interest. This page shows payment and interest for two loans. It does not know which obligation fits your cash flow.
- Use the amount financed on each, after fees you rolled in.
- Months are the term, not the time you hope to keep the loan.
Formula
Each payment is the standard installment payment. Interest is payment × months − amount.
Worked example
With the figures already in the form, interest, loan a minus loan b is $67.
Questions
What if I pay one off early?
Then the interest column overstates that loan. This comparison assumes you pay each loan as agreed.
Which is better?
The one whose interest and whose payment you can both live with. The page will not pick.