How paying extra works
The calculator keeps your normal monthly payment the same and adds your overpayments, so the loan is paid off sooner. It works month by month, charging interest at one twelfth of the annual rate on what you still owe.
If you've consolidated several debts into one loan, overpaying it is one way to become debt-free faster. Avoid building up new balances on the cards you cleared.
Worked example
On £15,000 at 11% with 5 years left, the normal payment is £326.14 a month. Paying £100 a month extra saves £1,373.70 in interest and clears the loan 1 year 5 months sooner.
Paying £200 a month extra instead saves £2,101.84 and 2 years 2 months. A one-off £2,000 lump sum now saves £1,314.85 and 10 months.
Which debt to pay first
If you have other debts at a higher rate, paying those off first usually saves more. Free debt advice services can help you make a plan if you're struggling.
Inputs for the debt loan payoff calculator
Amount you owe
The balance left on your loan.
Interest rate (per year)
Your current interest rate.
Time left to repay
How many years are left on the loan.
Extra each month
The amount you'll pay on top of your normal payment each month. Enter 0 for none.
One-off lump sum now
A single overpayment made now. Enter 0 for none.
CALCULATOR QUESTIONS
Debt loan payoff calculator questions
Does overpaying a debt loan save money?
Yes, by reducing the balance that interest is charged on.
How much would £100 a month extra save?
On £15,000 at 11% with 5 years left, £1,373.70 and 1 year 5 months.
Should I overpay this loan or another debt?
Usually the one with the highest interest rate first.
Will my lender charge me for overpaying?
It depends on your agreement. Check for early repayment or settlement charges before you overpay.