Calculate your monthly personal loan payment, total interest, and amortization schedule, including origination fees.
Rates as of Q2 2025 (example)
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This calculator estimates the monthly payment, total interest, and net amount you'd actually receive on a personal loan, after accounting for an origination fee that's commonly deducted from the loan amount upfront - along with a full amortization schedule showing how each payment is split between principal and interest.
The monthly payment uses the standard loan amortization formula, based on the loan amount, monthly interest rate, and number of months. The origination fee (if any) is calculated as a percentage of the loan amount and subtracted to find your net proceeds - but you still repay the full loan amount plus interest, not just the net amount received.
Formula: Monthly Rate = Annual Rate ÷ 12. Monthly Payment = [Loan Amount × Monthly Rate × (1 + Monthly Rate)Months] ÷ [(1 + Monthly Rate)Months − 1]. Origination Fee = Loan Amount × (Fee % ÷ 100). Net Proceeds = Loan Amount − Origination Fee. Total Cost = Loan Amount + Total Interest + Origination Fee.
Example: A CA$15,000 personal loan at an 11% interest rate (example rate — enter your actual rate) over 36 months, with a 3% origination fee, would have a monthly payment of about CA$491.08, total interest of roughly CA$2,679, an origination fee of CA$450, and net proceeds of CA$14,550 - meaning you'd receive CA$14,550 but repay based on the full CA$15,000 principal plus interest. (Note: this example is for illustration purposes only.)
Personal loans in Canada are offered by banks, credit unions, and online/alternative lenders, and can be secured (backed by collateral, such as a vehicle or savings, often with lower rates) or unsecured (based on your creditworthiness alone, typically with higher rates). Common uses include debt consolidation (combining multiple high-interest debts, like credit cards, into a single loan with a potentially lower rate - see our Debt Consolidation Calculator), home renovations, major purchases, or covering unexpected expenses. When comparing loan offers, look at the Annual Percentage Rate (APR) rather than just the interest rate, since APR incorporates fees like an origination fee into a single rate that reflects the true cost of borrowing - two loans with the same interest rate but different fees will have different APRs. Be cautious of "payday loans" or very short-term, high-cost credit products, which can carry effective annual rates far higher than typical personal loans and are regulated separately (with maximum cost-of-borrowing limits) in most provinces - they're generally not a substitute for the type of installment loan this calculator models. Your credit score significantly affects the rates you're offered; checking your credit report before applying, and comparing pre-qualification offers (which often don't affect your score) from multiple lenders, can help you find better terms.
The interest rate is the base rate used to calculate interest on the loan balance. The APR (Annual Percentage Rate) incorporates additional costs, such as an origination fee, into a single annualized rate that reflects the true overall cost of borrowing. When comparing loans, the APR gives a more accurate picture of which loan is actually cheaper, especially when fees differ between lenders.
An origination fee is a one-time charge, usually a percentage of the loan amount, that the lender deducts before disbursing the funds. For example, on a CA\$15,000 loan with a 3% origination fee, you'd receive CA\$14,550, but your monthly payments would still be calculated based on the full CA\$15,000 - effectively increasing the cost of borrowing relative to the amount you actually receive.
A secured loan (backed by collateral like a vehicle, GIC, or savings account) typically offers a lower interest rate because the lender has less risk, but you risk losing the collateral if you default. An unsecured loan doesn't require collateral but usually carries a higher rate, reflecting the lender's greater risk. The better choice depends on your risk tolerance, available collateral, and the rates offered for each option.
Many personal loans in Canada allow early repayment, but some may charge a prepayment penalty - check your loan agreement for any such clause. If prepayment is allowed without penalty, using the extra payment field in this calculator shows how additional payments toward principal can reduce your total interest and shorten your loan term.
Lenders use your credit score and credit history as key factors in deciding both whether to approve your loan and what interest rate to offer - generally, a higher credit score corresponds to lower offered rates, since it indicates lower risk to the lender. Checking your credit report before applying, and addressing any errors or issues, can help you qualify for better rates.
It can make sense if the personal loan's interest rate (and any fees) result in a lower overall cost than continuing to carry the credit card balances at their current rates, and if it helps you pay off the debt on a defined schedule rather than carrying it indefinitely. Compare the total cost of the new loan (including any origination fee) against the projected interest on your current debts - see our Debt Consolidation Calculator and Credit Card Payoff Calculator for comparisons.
Disclaimer: The information, rates, and figures provided on this page are for educational and illustrative purposes only and do not constitute financial advice. The interest rate and origination fee used are examples only and do not represent rates currently offered by any specific lender - actual rates depend on the lender, your creditworthiness, loan amount, and term, and change frequently. Always compare the APR and full terms from multiple lenders before borrowing, and consult a qualified financial adviser for personalised advice.