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Anticipat

Prepayment

Loan prepayment calculator

See what happens to your loan if you pay an extra sum: shorten the term or lower the installment. You can add the bank's commission, compare two scenarios side by side and download the report.

Loan details

All fields are required except the payment day.

What the bank charges for an early payment, as a % of the amount paid. Leave 0 if you have none.

What do you want to reduce?

Example values: replace them with yours and press Calculate.

Months saved

52 months

New end: —

Interest saved

RON 55,722.97

The loan before and after the prepayment
The loan before and after the prepaymentCurrent situationAfter prepayment
Monthly installmentRON 1,450.07RON 1,450.07
Remaining installments240188
Payoff date——
Remaining total interestRON 168,016.26RON 112,293.29
How the debt goes down
050K100K150K200K0369121518years
  • Without prepayment
  • After the prepayment

Move the pointer over the chart or use the ← → arrow keys to see the values.

Interest and principal by year, after the prepayment
05K10K15K20KYear 1: Principal RON 5,590.39Year 1: Interest RON 11,810.421Year 2: Principal RON 6,024.39Year 2: Interest RON 11,376.43Year 3: Principal RON 6,492.07Year 3: Interest RON 10,908.743Year 4: Principal RON 6,996.07Year 4: Interest RON 10,404.74Year 5: Principal RON 7,539.19Year 5: Interest RON 9,861.625Year 6: Principal RON 8,124.48Year 6: Interest RON 9,276.33Year 7: Principal RON 8,755.21Year 7: Interest RON 8,645.617Year 8: Principal RON 9,434.89Year 8: Interest RON 7,965.92Year 9: Principal RON 10,167.35Year 9: Interest RON 7,233.469Year 10: Principal RON 10,956.67Year 10: Interest RON 6,444.15Year 11: Principal RON 11,807.26Year 11: Interest RON 5,593.5511Year 12: Principal RON 12,723.89Year 12: Interest RON 4,676.92Year 13: Principal RON 13,711.68Year 13: Interest RON 3,689.1313Year 14: Principal RON 14,776.15Year 14: Interest RON 2,624.66Year 15: Principal RON 15,923.26Year 15: Interest RON 1,477.5515Year 16: Principal RON 10,977.04Year 16: Interest RON 304.05Year
  • Principal
  • Interest
The figures by year
YearPrincipalInterest
1RON 5,590.39RON 11,810.42
2RON 6,024.39RON 11,376.43
3RON 6,492.07RON 10,908.74
4RON 6,996.07RON 10,404.74
5RON 7,539.19RON 9,861.62
6RON 8,124.48RON 9,276.33
7RON 8,755.21RON 8,645.61
8RON 9,434.89RON 7,965.92
9RON 10,167.35RON 7,233.46
10RON 10,956.67RON 6,444.15
11RON 11,807.26RON 5,593.55
12RON 12,723.89RON 4,676.92
13RON 13,711.68RON 3,689.13
14RON 14,776.15RON 2,624.66
15RON 15,923.26RON 1,477.55
16RON 10,977.04RON 304.05

The link carries your figures in its address: anyone who opens it sees the same calculation.

How it is calculated

The calculator assumes a loan with equal installments (an annuity): every month you pay the same installment, part of it interest (the balance times the annual rate divided by 12) and the rest reducing the debt. From your figures (balance, rate, remaining installments) it works out today's installment and the repayment schedule.

The prepaid sum is taken off the balance right now. If you choose “The term”, the installment stays the same and the loan ends sooner: that is where the months saved come from. If you choose “The installment”, the term stays the same and the installment is recalculated on the new balance.

The interest saved is the difference between the total interest left before and after the payment. If you add the bank's commission, it is taken off the saving so you see the net gain. For the same sum, shortening the term saves more interest than lowering the installment; lowering the installment, on the other hand, eases your monthly budget from now on.

Questions about prepaying a loan

How exact is the calculation?

It is an estimate: we use the nominal annual rate from your contract divided by 12 for each month. Your bank may count days exactly, may have monthly fees or insurance in the installment and rounds differently, so its figures can differ a little. Final values are always confirmed with the bank.

Which rate do I enter: nominal or APR?

The nominal one, written in your contract or repayment schedule. The APR (the annual percentage rate of charge) includes fees, so it is higher and is not right for this calculation.

What is the difference between reducing the term and the installment?

If you reduce the term, you pay the same installment for fewer months, so total interest falls the most. If you reduce the installment, you pay for the same number of months but less each month, so you keep money every month. You can put the two side by side with the “Compare with another scenario” button.

Are my figures saved?

No. The calculation runs in your browser. The figures reach the server only when you ask for the PDF, so it can build it, and they are not kept. The link you copy carries your figures in its address, so share it only with whom you want.

More loan calculators

Indicative calculation. Final figures are confirmed with your bank/lender (RO law OUG 50/2010: you have the right to early repayment).