Big purchase? Big decision. Our personal loan repayment calculator helps you make the right choice—the simple, easy way.
Using our personal loan calculator you can find your ideal personal finance solution. The key components of a loan include the loan amount, the interest rate, the loan’s length and the loan repayment frequency. By adjusting these settings in the calculator, you can find out how much you can borrow and how much the loan repayments will be.
Make your personal loan personalised. When you are ready you can apply for a Rapid Personal Loan online or over the phone. A Rapid Finance loan expert will assess your situation and match you with a tailored solution suitable for your needs. We put the ‘personal’ in personal loans.
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Please note: This is an estimate provided for illustrative purposes only, and is based on the accuracy of information provided. It does not constitute a quote. Additional fees and charges may apply dependent on your individual circumstances. Fees such as early repayment costs and establishment fees are not accounted for in the examples of weekly repayments. Interest rates may be subject to change throughout the term of the loan.
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A personal loan calculator is an online tool that helps you estimate the repayments for a personal loan based on the amount you wish to borrow, the interest rate, and the loan term. This allows you to get an idea of the affordability of a loan, based on the repayment estimates provided.
Our personal loan calculator is designed to give you a general understanding of what your repayments might look like before you decide to apply for a loan. Here’s a step-by-step guide on how it works:
Set the Loan Amount: Start by adjusting the slider to the amount you wish to borrow. You can calculate personal loans up to $30,000, which can be used for various purposes like consolidating debt, home renovations, or significant personal purchases.
Select the Interest Rate: The interest rate you enter will significantly affect your repayments. If you’re unsure of what interest rate to use, consider your credit history and current financial standing. A higher credit score and stable income can typically secure a lower interest rate.
Choose the Loan Term: Select a loan term that reflects how long you wish to take to repay the loan, from 1 to 7 years. Extending the term will lower your regular payments but will increase the total interest paid over time.
Payment Frequency: Decide how often you’d like to make repayments – weekly, fortnightly, or monthly. Selecting the frequency that aligns with your pay cycle can help manage cash flow better.
Review Your Repayments: The calculator will display the estimated repayment amount based on the frequency you’ve selected. This allows you to gauge the affordability of the loan. If the repayments seem too high, you might consider reducing the loan amount or extending the loan term to lower the periodic payment.
Adjust as Needed: If the initial calculation doesn’t meet your budget, you can adjust the loan amount, term, or even see if a better interest rate is available for your situation. Our team at Rapid Finance is experienced in finding finance solutions, especially for those who may have difficulty with banks or mainstream lenders, and can assist you in exploring options that fit your unique financial circumstances.
Personal loans can be used for various purposes, including debt consolidation, home renovations, travel, or covering unexpected expenses.
Emergencies, please use our fast cash loan calculator
A secured personal loan is a type of loan where the borrower offers an asset as collateral to secure the loan. This asset can be a car, property, or even a home. Here's how it works:
Offering an Asset as Security: When you take out a secured personal loan, you agree to give the lender the right to take the asset if you can't repay the loan as agreed. Because the lender has the asset as security, they may offer you a lower interest rate compared to an unsecured loan.
Using a Home as Security: If you choose to use your home as security, you are essentially borrowing against the value of your home. This is often seen as strong collateral and could result in a significantly lower interest rate due to the reduced risk for the lender.
Loan-to-Value Ratio: If you're using your home as security, the amount you can borrow may depend on the equity you have in your home. Equity is the difference between the value of your home and the amount you owe on your mortgage. The loan-to-value ratio (LVR) is a term lenders use to describe the amount of the loan compared to the value of the property securing the loan.
Risks and Benefits: While secured loans can offer lower interest rates and higher borrowing amounts, it's essential to be mindful of the risks. If you fail to make repayments, the lender has the right to take possession of the secured asset. On the other hand, if you make your repayments on time, you can benefit from the lower interest rate without any issues.
Considerations for Secured Loans: Before deciding on a secured personal loan, it's crucial to assess your financial stability and ensure you can meet the loan repayments. At Rapid Finance, we can help you understand the implications of securing a loan against your home and find a solution that suits your financial needs.
If you're considering a secured personal loan and want to know more about how your car or home can be used as security, or if you have other assets you wish to use as collateral, please reach out to us at Rapid Finance. Our team can guide you through the process, ensuring that you make informed decisions about your loan options. Contact us at 1300 467 274 or start your application.
Yes, it's a good idea to check your credit report before applying for a loan. Rapid Finance offers a free credit check report that doesn't impact your credit file.
Your income and financial situation can influence the interest rate offered to you, as they reflect your ability to repay the loan.
Choosing the right interest rate for a personal loan largely depends on your credit profile, which reflects your credit history and creditworthiness. Here's how different credit profiles can influence the interest rate you might choose or be offered:
Bad Credit Profile: If you have a bad credit profile, which may include a history of missed payments, defaults, or bankruptcy, lenders will see you as a higher risk. This could mean you'll be offered higher interest rates for bad credit loans, to offset the risk of lending to you. Rapid Finance specialises in finding finance solutions for individuals with bad credit and can often find competitive rates that may not be available from traditional lenders.
OK Credit Profile: With an OK or fair credit profile, you may have a few blemishes on your credit report, but generally manage your debts responsibly. Interest rates offered to you will be somewhere in the middle—not the highest, but not the lowest either. Lenders see you as a moderate risk, so while you may not qualify for the best rates, you're not penalised as heavily as those with poor credit histories.
Good Credit Profile: A good credit profile usually means you have a history of consistent, on-time payments, low levels of debt, and no recent defaults or serious credit infringements. You're considered a low-risk borrower, which means you're more likely to be offered lower interest rates, as lenders will want to incentivise you to choose them over competing providers.
To determine which interest rate to choose or what rate you may qualify for, consider the following steps:
Credit Check: Start by obtaining a free credit check. Rapid Finance offers this service without leaving a mark on your credit file. Knowing your credit score will give you a better idea of where you stand.
Research: Look at the current market rates for personal loans. If you have a good credit profile, you can expect rates closer to the lower end of what's advertised.
Get Professional Advice: Speak with a finance professional at Rapid Finance. We can help assess your credit profile and match you with lenders who are more likely to offer favourable rates based on your financial circumstances.
Consider Loan Security: If you're willing to secure your loan with an asset, you may be offered a lower rate, as secured loans typically come with less risk for the lender.
Loan Purpose and Amount: The purpose of your loan and the amount you wish to borrow can also affect the interest rate. Larger loans or those for specific purposes like buying a car or home renovations might come with different rates.
Application Assessment: When you apply for a loan, the lender will conduct a detailed assessment, including your credit score, income, and financial commitments, to determine the interest rate they will offer you.
Negotiate: If you have a good credit profile or if you're a returning customer with a positive repayment history, don't hesitate to negotiate with the lender or ask if there are any discounts available.
At Rapid Finance, we understand that everyone's financial situation is unique. That's why we offer tailored services to help you through the process, from improving your credit to finding finance options suited to your situation. If you want to discuss your options or need assistance determining the best rate for you, please contact us at 1300 467 274 or visit our personal loans page to get started online.
Getting a better interest rate on a personal loan can significantly reduce the total amount you'll pay over the life of the loan. Here are some steps you can take to improve your chances of securing a lower interest rate, especially when dealing with lenders in Australia:
Improve Your Credit Score: Your credit score is a crucial factor in determining the interest rate lenders will offer you. To improve your credit score, make sure you pay your bills on time, reduce the balance on existing debts, and avoid making multiple credit applications within a short period. Rapid Finance can provide you with a free credit check report to understand your current score and suggest ways to improve it over time. We can also give you advice and tip on how to fix errors and improve your credit profile.
Stable Income and Employment: Lenders prefer borrowers with a stable job and consistent income. If you've been in your job for several years and have a regular income, you're likely to be considered a lower risk, which could lead to a better interest rate. If you're self-employed or in a risky employment situation, providing proof of consistent income through tax returns or financial statements can help.
Lower Debt-to-Income Ratio: Try to pay down existing debts before applying for a new loan. A lower debt-to-income ratio shows lenders that you're not overextended and are managing your current debt well, which may qualify you for a lower rate.
Offer Security: Securing the loan with an asset, such as a car or equity in your home, may result in a lower interest rate since it reduces the lender's risk.
Shop Around: Don't just accept the first offer you get. Compare rates from various lenders, including banks, credit unions, and online lenders. Rapid Finance can help with this by accessing a large panel of lenders, including those who specialise in loans for people with bad credit or unique financial situations.
Negotiate: If you have a good or even fair credit history, don't be afraid to negotiate with lenders. You might be surprised how much room there is for negotiation, especially if you have other offers to use as leverage.
Consider a Co-Signer: If you have a relative or friend with a strong credit profile, they can co-sign the loan with you. Their creditworthiness can help you secure a lower interest rate, but remember, they will also be responsible for the loan if you cannot make payments.
Shorten the Loan Term: Lenders may offer lower interest rates for shorter loan terms. While this may increase your monthly payment, it will decrease the amount of interest you pay over time.
Use a Finance Broker: Finance brokers like Rapid Finance have expertise in finding competitive rates for their clients. They can look at your financial situation, compare options from their panel of lenders, and negotiate on your behalf.
Check for Special Offers: Lenders sometimes have special offers or discounts for certain borrowers, such as existing customers, new customers, or for specific loan purposes.
Remember, securing a better interest rate is not just about finding the lowest number. It's also about ensuring the loan and its terms fit your overall financial plan. If you need help understanding loan offers or want to discuss strategies to secure a better rate, Rapid Finance is here to provide personalised assistance.
Changing the loan term can significantly impact both your monthly payments and the total interest you'll pay over the life of the loan. Let's use a $10,000 loan as an example to illustrate the difference between a 2-year term and a 5-year term. We'll assume a fixed interest rate of 8% p.a. for simplicity and to be repaid monthly.
2-Year Term:
5-Year Term:
Example Calculation: Using a simple loan amortisation formula, here's how the numbers might look like for each term:
For the 2-Year Term:
For the 5-Year Term:
Summary:
It's important to consider your cash flow and financial stability when choosing a loan term. While a shorter term can save on interest costs, the higher monthly payments could strain your budget. Conversely, a longer term eases monthly payments but increases the total interest paid.
Changes in interest rates can have a significant impact on the overall cost of a loan. Let's explore how different interest rates would affect the cost of a $10,000 loan over 5 years. We'll assume monthly repayments and not factor in any fees or charges for simplicity.
At 8% Interest Rate:
At 12% Interest Rate:
How they Compare:
This example illustrates that even a relatively small difference in the interest rate can lead to a significant difference in both the monthly payments and the total interest paid over the life of the loan. It's crucial to secure the lowest interest rate possible to minimise your overall loan cost.
Sorry, but our calculator provides an estimate of your monthly repayments. For a detailed breakdown, including fees, get started online or contact us at 1300 467 274.
Making regular repayments on a loan can have a positive impact on your credit score, demonstrating your reliability as a borrower.