How to Use This Calculator
Use this calculator to see exactly what your credit union personal loan payments will be and how much interest you'll pay over the life of the loan.
Enter Your Loan Amount
Start by entering the total amount you want to borrow. This could be for debt consolidation, home improvements, a major purchase, or any other personal expense. The calculator works for any loan amount, whether you're borrowing a few thousand dollars or a larger sum.
Enter Your Interest Rate
Input the annual interest rate you've been offered by your credit union. Credit unions typically offer more competitive rates than traditional banks and significantly better rates than subprime private lenders. Credit unions are member-owned cooperatives that tend to take on more risk than traditional banks, which often translates to lower interest rates for borrowers, even those with less than perfect credit. Personal loan rates at credit unions typically range from 6% to 15%, compared to subprime lenders who may charge 20% to 47%. If you're comparing offers from different credit unions, you can adjust this number to see how each rate affects your payments.
Adjust Your Loan Term
Use the slider to select your loan term, which can range from 6 months to 10 years (120 months). The term you choose dramatically affects both your payment amount and total interest paid. A shorter term means higher payments but less interest paid overall. A longer term means lower payments but more interest paid over time. Most personal loans at credit unions fall between 2 and 5 years.
Choose Your Payment Frequency
Select how often you want to make payments: weekly, biweekly, semi-monthly, or monthly. The calculator defaults to monthly payments as this is the most common option. However, choosing more frequent payments like weekly or biweekly can help you pay off the loan faster and reduce total interest costs. More frequent payments mean you're paying down the principal balance more often, which reduces the amount of interest that accumulates.
Understanding Your Results
Click calculate and the results show three key numbers. Your payment amount appears prominently, showing exactly what you'll pay at your selected frequency along with the total number of payments. The total principal shows the amount you borrowed, and total interest displays the complete cost of borrowing over the entire loan term.
The "Total Amount to Repay" section at the bottom provides a comprehensive summary. You'll see the total amount you'll repay over the life of the loan, how much of that is interest, and what percentage of your loan amount goes toward interest costs. This percentage helps you understand the true cost of borrowing. For example, if you borrow $15,000 at 7.5% over 3 years, you might pay $1,800 in interest, which is 12% of your loan amount.
You can experiment with different scenarios by adjusting the loan term and payment frequency. Notice how choosing a shorter term increases your payment but dramatically reduces total interest paid. Similarly, switching from monthly to biweekly payments can shave months off your repayment timeline and save you money in interest.
The calculator assumes a fixed interest rate that remains constant throughout the loan term. It also assumes you'll make all payments on time and won't make any extra payments. If you do make additional principal payments, you'll pay off the loan faster and pay less interest than the calculator shows.
Use this calculator when comparing loan offers from different credit unions or when deciding how much you can afford to borrow. By seeing the exact monthly payment and total cost upfront, you can make an informed decision about whether the loan fits your budget and financial goals. Credit unions often provide more flexible terms and personalized service compared to traditional banks, making them an excellent option for personal loans.
