Personal Loan Repayment Calculator – Monzi’s Guide

Calculate the cost of your loan with a personal loan repayment calculator. Monzi’s guide to accessing free resources online. Find out today if the repayments will fit your budget. Interested? Read on!

Please note, certain ideas and products presented in this article may not be offered by Monzi nor the lenders we work with. This article presents only general information. Consider seeking professional financial, taxation, legal or other advice to check how the information and ideas presented on this website relate to your unique circumstances.

What is a personal loan repayment calculator?

A personal loan repayment calculator is a useful financial tool if you are considering applying for personal finance. In short, it provides you with an estimate of what your loan repayments will be. From there, you can determine if that loan is suitable for your budget.

Simply enter your loan details including the amount, the interest rate and the repayment period and your calculator will generate what your regular repayments will be.

However, note that these repayments are only an estimate. They are non-binding and are for demonstrative purposes only. Your lender will determine your actual repayments if you apply for a personal loan.

So, now that you know what a personal loan repayment calculator is, we can dive deeper in the details. Continue reading for Monzi’s all-encompassing guide. Let’s get into.

Personal loan repayment calculator for bad credit

Have you got bad credit? You may still be able to access personal loans through a range of online lenders.

While they may look at your credit score, it’s simply one part of the equation. Based on your income and expenses, lenders will try to get an idea of what repayments may be affordable for you.

If you are in a strong financial position then you may be offered the loans you need, regardless of your credit history. However, approval is at the lender’s discretion.

In addition to this, keep in mind that bad credit loans may come with higher interest rates. This is to account for the lender’s additional risk that comes with offering loans to less reliable borrowers. This may not be taken into consideration if you are using a personal loan repayment calculator.

Personal loan repayment calculator: secured vs unsecured

Personal loans come in two common forms: secured and unsecured loans. The key difference between the two is security.

With a secured loan, the borrower must sign over an asset as security as part of their loan agreement. This asset (e.g. your car or boat) is used to guarantee the loan. In other words, if the borrower fails to make their required repayments then the lender may take steps to repossess the asset to recover their losses.

On the other hand, unsecured loans don’t require security.

This can have a direct impact on your loan repayments. Lenders consider secured loans to be less risky as the loan is guaranteed. As a result, they may offer these loans at lower interest rates which can save you money.

What is the average interest rate on a personal loan?

In short, it’s not possible for us to say what the average interest rate on a personal loan is.

Interest rates vary between loans and lenders. They are influenced by a range of factors as well as the lender policy. As a result, the interest rate you are offered may be different to the rate offered to another borrower.

That’s why it can be useful to use a loan repayment calculator. You can enter the details of your loan to get an idea of what you might repay. Change the interest rate and you’ll see how your costs might differ.

Online personal loan repayment calculator

Online loan calculators are dime-a-dozen. A simple google search and you’ll find plenty of wonderful, free resources that will do the job.

Our tip though, head to the Australian Government’s Moneysmart loan calculator. Not only can you calculate what your repayments will be, you can calculate how much you can afford to borrow too, based on what an affordable repayment will be.

In addition to this, the Moneysmart website contains a stack of great personal finance tips and information. So, take some time and try to determine if applying for a loan is the right choice for you.

Alternatively, Monzi’s loan slider at the top of the page serves the same purpose. Drag the slider to select your loan amount then choose your repayment period. From there, you’ll get an estimate of what you weekly, fortnightly or monthly repayments will be.

However, this information is only a guide and actual repayments may vary.

Making repayments

Once you know what you’ve got an estimate of what your repayments will be, you’re probably wondering how you will make them.

In short, it’s really simple.

First of all, when you apply for a loan online, there will be a few options for you. If you’re seeking a personal loan then you may have the choice of repayment periods ranging from 12 to 24 months. In addition to this, you’ll get to decide between weekly, fortnightly or monthly repayments.

Then, it’s time to make your repayments. The easy way to do this is to establish a direct-debit from your account. That way, repayments will be automatic and you won’t need to lift a finger.

How much would a $10,000 loan cost per month?

In short, the costs would vary based on a number of factors, the interest rate and repayment period being the main two.

To put it into an example, a $10,000 with a 13 month repayment period would have significantly larger monthly repayment compared to a loan with a 24 month period.

By the same token, the higher the interest rate charged on your loan, the greater your cost per month will be.

In addition to this, any fees and charges associated with your loan will only add to the costs.

So, as you can see there are a number of factors to consider. As a result, using a personal loan repayment calculator can be extremely useful. Enter the details of your loan and you’ll get an estimate of your monthly costs. Simple.

What determines the interest rate?

While we’ve touched on a few points already, there are a number of factors that lenders will use to calculate your interest rate.

While not an extensive list, key considerations include:

  • Secured or unsecured: lenders may reduce your interest rate if you are prepared to secure the loan with an asset.
  • Your credit history: bad credit loans can attract higher interest rates as lenders may consider you a default risk.
  • The type of loan that you are applying for (payday vs personal): some payday lenders may charge higher interest rates.
  • The loan amount and term

Your financial situation and a personal loan repayment calculator

Once you’ve got a repayment estimate, it’s crucial to assess how that would fit with your budget. After all, you should only borrow what you can afford to repay.

So, consider the following:

  • Your income, savings and assets
  • Day to day expenses
  • Any current debts
  • Any major upcoming expenses
  • Areas where you may be able to cut costs to reduce the amount you need to borrow.

Compare this information to the repayment estimate and decide if they would work for you. If they fit comfortable then you can go ahead and apply for the loan.

Can I borrow with a 700 credit score?

Yes.

In fact, a credit score of 700 is typically considered good. For many lenders, this will be a huge positive and your chances of being approved will improve.

In any case, these days, lenders are more willing to take on credit scores of all levels. While approval is not certain, your credit score won’t necessarily be the be-all and end-all of your application

This is a relief for the thousands of Aussies with subpar credit. While we’d all love to have a credit score of 700, for many, it’s just not possible. So, lenders may focus on other aspects of your application too.

Personal loan repayment calculator man using phone standing by road

Can you pay off a personal loan early?

Potentially.

However, before you do make sure that you consult your loan agreement. Some lenders may apply early-exit fees. In other words, you’ll receive an extra charge for paying off your loan early.

As a result, paying off your loan early may not be the best choice. While getting out of debt sooner is never a bad idea, consider the associated fees.

Ultimately, choose the option that works best for your financial situation.

Car loan repayment calculator

Looking to hit the road in a new set of wheels? With a car loan, you might be able to get the cash you need to fund your purchase.

Before you get started though, make sure you use a car loan repayment calculator. It will work like any other repayment calculator to give you an idea of what your repayments will be.

From there, you can determine if the car of your dreams fits with your budget. So long as the repayments are manageable, you can apply for your car loan and potentially cruise the streets in your new vehicle soon.

Are personal loans a bad idea?

Personal loans can be a handy option to help manage a short-term cash shortfall. However, if they are not managed correctly then issues can arise.

If you borrow more than you can afford to repay, you can find yourself unable to make repayments. In a worst case scenario, this can result in debt spirals, defaults or potentially even bankruptcy.

However, this does not necessarily make them a bad idea. So long as you make smart financial choices

This is where a personal loan repayment calculator is useful. Calculate what your repayments will be before you apply. That way you can get an idea of how they would fit with your budget and if they would be affordable for you..

Is it hard to get a personal loan?

In short, it depends on your financial situation.

Lenders will only offer loans if they believe that you have the capacity to repay any money that you borrow. As a result, the likelihood of approval will vary.

For instance, if you have good credit and earn a regular income then approval will likely be easier for you compared to someone with bad credit, earning a low income.

However, if your circumstances are not the best, that’s okay too. You may still be able to access the finance you need. Although, approval is not certain.

Personal loans through Monzi

Think a personal loan might be the right choice for you? Apply with Monzi. We’re a lender-finder service who might make finding great lenders online a breeze.

Through our lenders, you can access cash loans from $300 to $10,000. With simple applications, no paperwork and a 100% online service, Monzi is the easy choice.

Personal loanAmount (AUD)TermSecured
Small$300 to $2,000Up to 12 months
Medium$2,001 to $4,60013 to 24 months
Large$5,000 to $10,00013 to 24 months

Scroll up and begin your application today.

Factor In

Costs

Two credit cards
Two credit cards

You won't use a penny to apply for our lender-finding service, but here's some costs you could expect from a lender

Loan amount

$300 - $2,000

Terms

12 months

Costs

20% upfront establishment fee

+ 4% monthly fee

Example

Loan Amount of $1,000 over 6 months repayable weekly (25 weekly repayments). $1,000 (Principal Amount) + $200 (20% Establishment Fee) + $240 (fees based on 4% per month over 25 weeks) = $1,440 total repayable in 25 weekly installments of $57.60.

Under the current legislation, most small personal loan providers don’t charge an annual interest rate (you’ll know this as an APR) %. The maximum you will be charged is a flat 20% Establishment Fee and a flat 4% Monthly Fee. The maximum comparison rate on loans between $300 and $2000 is 199.43%. This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate

Loan amount

$2,001 - $4,600

Terms

13 months

24 months

Costs

48% annual percantage rate

67.41% comparison rate p.a.

Example

Loan Amount of $3,000 over 18 months repayable weekly (78 weekly repayments). $3,000 (Principle Amount) + $400 (Establishment Fee) + $1,379.06 (reducing interest) = $4,779.06 total repayable over 18 months with weekly installments of $61.27.

The Interest Rate for Secured Medium Loans is 48%. The Typical Comparison Rate is 67.41% p.a. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate with the lender that finances your loan. Click here to see a worked example.

Loan amount

$5,000 - $10,000

Terms

13 months

24 months

Costs

21.24% annual percantage rate

48% comparison rate p.a.

Example

Loan Amount of $10,000 over 24 months repayable weekly (104 weekly repayments). $10,000 (Principle Amount) + $5,577.12 (Interest) = $15,577.12 total repayable over 24 months with weekly installments of $149.78.

The Interest Rate for Secured Large Amount Loans is 48%. Maximum Comparison Rate is 48% p.a. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate with the lender that finances your loan. Click here to see a worked example.