Loan Comparison Calculator
Compare two loan scenarios side by side to see exactly how much you can save.
What this calculator does
When choosing between Bank A and Bank B, simply looking at the interest rate isn't enough. Differences in loan terms, fixed-rate periods, and refinancing costs all impact your long-term bottom line. This side-by-side comparison tool lets you input two different loan scenarios and clearly displays the differences in monthly payments, total repayments, and total interest in a straightforward breakdown. We recommend testing various scenarios (e.g., a short term with high payments vs. a long term with low payments) before signing a contract.
Worked examples
- Option A: 2.0% over 20 years vs. Option B: 2.3% over 30 years. Option B has a lower monthly payment, but the total interest could be hundreds of thousands more.
- When comparing refinancing quotes, don't forget to factor in break fees and origination costs.
Frequently asked questions
- Should I focus on the lowest monthly payment or lowest total interest?
- If cash flow is tight, focus on the monthly payment. If you want to build wealth and minimize life-time costs, prioritize the lowest total interest.
- How do I compare a fixed rate with a variable rate?
- Model the variable rate scenario using a 'worst-case' expected interest rate and compare it against the fixed rate to evaluate your risk exposure.