See your monthly payment and how an amortized loan shifts from mostly-interest to mostly-principal over time, including the year-one split that surprises most borrowers.
How it works
- Enter the total principal of the loan.
- Provide the interest rate and the length of the loan.
- Review the generated schedule showing your principal/interest split evolving over time.
Frequently asked questions
Why is year one almost all interest?
Interest is charged on the outstanding balance, which is highest at the start. As principal falls, the interest share shrinks every month.
How do extra payments help?
Extra money goes straight to principal, shrinking every future interest charge — the savings compound over the life of the loan.
Is the monthly payment really fixed?
On a fixed-rate loan, yes. Only the internal principal and interest split changes month to month.