Loan Calculator for United Kingdom
United Kingdom · GBP. Compare a borrowing amount, interest rate and term.
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Amortization Schedule
| Year | Principal Paid | Interest Paid | Total Payment | Remaining Balance |
|---|---|---|---|---|
| 1 | £3,611.11 | £917.99 | £4,529.10 | £16,388.89 |
| 2 | £3,795.86 | £733.24 | £4,529.10 | £12,593.04 |
| 3 | £3,990.06 | £539.04 | £4,529.10 | £8,602.98 |
| 4 | £4,194.20 | £334.90 | £4,529.10 | £4,408.78 |
| 5 | £4,408.78 | £120.31 | £4,529.10 | £0.00 |
Showing 1–5 of 5 years
Key Insights
Interest Share
Interest accounts for 12% of this loan's total repayments.
Loan Tenure
A longer tenure reduces EMI but increases total interest.
Prepayment
Even small prepayments can save you a significant amount.
Method and scope
Fixed-rate, fully amortising loan with equal monthly payments beginning one month after borrowing. The nominal annual interest rate is divided by 12. At zero interest, principal is divided equally across payments. Fees, insurance, property taxes, rate resets and prepayments are excluded. This is a principal-and-interest illustration, not a lender quotation.
Using this calculator in United Kingdom
Use the amount borrowed in GBP, rather than a purchase price before a deposit. The United Kingdom projection uses your nominal annual rate and equal monthly payments; fees, insurance and early repayments are excluded. A lender's quoted comparison rate or APR can include costs this model does not include.
Try the starting example
Amount borrowed: £20,000; Annual interest rate (nominal): 5%; Loan term (years): 5.
Monthly principal + interest: £377.42.
Compare one assumption at a time
A lower monthly repayment can come from spreading the same debt across more payments. Compare total repayment before deciding whether that trade-off fits your budget. Fees and insurance can change the actual cost of an offer. These fictional scenarios use the starting inputs printed above, not your current entries in the interactive calculator.
| Loan term (years) | Monthly principal + interest | Interpretation |
|---|---|---|
| 4 | £460.59 | One changed input |
| 5 | £377.42 | Starting example |
| 6 | £322.10 | One changed input |
Are you comparing money available now with money set aside for retirement?
A cash savings goal and a SIPP balance answer different questions. The SIPP model includes basic-rate relief under its stated assumptions, while the savings tool excludes tax and account restrictions. Keep accessible savings separate from a retirement balance when comparing the results.
To reproduce the table, reset the calculator, change only the named input and compare the result and any warning. Record the assumptions with your result. See worked planning examples and our calculation and correction process.
Sources and review date
Rules and method reviewed 2026-11-01. Future changes are not automatically applied. Report a correction.