Loan Amortization Calculator

Amortization spreads loan payments over time so each payment covers interest and gradually reduces principal.

Early payments are mostly interest. Over time, more goes toward principal.

Adding $100 extra monthly to a $250,000 mortgage at 6.5% can save over $70,000 in interest and shorten the loan term by approximately 6-7 years.

Refinancing resets the amortization schedule. Your monthly payment decreases but you extend the term, so calculate total interest carefully before refinancing.