Extra payment / early payoff
See how a regular overpayment or a one-off lump sum cuts interest and shortens the term on a personal loan.
LoanCalc Lab editorial · Methodology: reducing-balance EMI / amortisation with disclosed assumptions (fees optional where shown) · Last checked:
Your inputs
Results
Contractual monthly
£248.38
Effective monthly (with extra)
£298.38
Interest without extras
£1,922
Interest with extras
£1,540
Interest saved
£382
Term without extras
4 years
Term with extras
3 years 3 months
Months saved
9 months
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Illustrative only — not personalised financial advice and not a credit offer. Rates, fees and terms vary by lender and country. Check the lender’s disclosure before you borrow. Full calculator disclaimer.
Equations & assumptions
Base schedule uses the contractual amortising payment. Extra monthly (and optional month-1 lump sum) are applied to principal after interest each month until the balance clears.
- Capital-and-interest reducing balance; monthly rate = APR ÷ 12. Representative APR on UK credit ads may include fees — we model fees separately unless stated.
- No early repayment charge modelled.
- Extra payments assumed to reduce term (not reduce future contractual payment).
Notes & FAQs
- Will my lender allow this?
- Many personal loans allow overpayments; some charge early repayment fees. Check your agreement before sending extra money.