UK Loan Calculator 2026

Use GlobalCalqulate’s free UK Loan Calculator (2026) to calculate monthly repayments, total interest, representative APR and full cost of borrowing. Model personal loans, debt consolidation loans, home improvement loans and general borrowing. Works across England, Scotland, Wales and Northern Ireland.

Last revised 23 September 2026

By Team GlobalCalqulate · About our editorial standards

Loan Details

Loan Amount

Loan Purpose

How this estimate was calculated

An unsecured personal loan is not secured on your home. The interest rate you are actually offered can differ from an advertised representative rate, depending on the lender and your circumstances.
The rate used here is an interest rate for calculation purposes. It is not a statutory UK APR calculation. APR can include certain fees and other costs.
This is a budgeting estimate based on the figures you entered, not a lender affordability assessment.
This calculation assumes the interest rate remains unchanged for the period modelled. If your agreement has a variable rate, the actual repayments and total cost may change.
At 6% interest, the modelled total cost would be approximately £566.16 lower over the full term.
Use the lender's agreement and pre-contract information for the exact rate, fees, repayment schedule and early-repayment terms that apply to you.

Financial Disclaimer: This calculator provides an illustration, not a quotation, credit offer or lender affordability assessment. It uses the interest rate and other assumptions you enter. Actual repayments, APR, fees, early-repayment terms and the total amount payable depend on the lender and your credit agreement. Check the lender's pre-contract information and agreement before borrowing. Full disclaimer.

Sources & methodology

Formula:: Periodic repayment (amortising loan)
Reference:: Financial Conduct Authority Handbook

Calculation type: Exact calculation. Figures are taken from Financial Conduct Authority Handbook — see sources below.

Your entries stay on this device. This calculator runs entirely in your browser — the figures you type are not sent to us or to anyone else. The page itself uses cookies for analytics and advertising, described in the privacy policy.

Formula & methodology

Formula used

Periodic repayment (amortising loan)

M = P × i × (1 + i)^n ÷ [(1 + i)^n − 1]

The standard amortisation formula used to estimate the level repayment needed to clear the financed balance over the selected term.

Periodic interest rate

i = annual interest rate ÷ payments per year

The annual interest rate is converted to the selected repayment frequency. Monthly calculations use 12 periods per year, fortnightly calculations use 26 and weekly calculations use 52.

Total interest

Total interest = total scheduled repayments − financed amount

The estimated amount paid above the financed balance over the scheduled term.

Total cost including fees

Total cost = total interest + arrangement fee

The estimated interest cost plus the arrangement fee entered by the user.

Remaining budget after the new loan

Remaining budget = income − living expenses − existing debt payments − new loan repayment

A budgeting calculation showing what remains from the stated monthly income after the entered expenses, existing debt commitments and proposed repayment.

Variable definitions

Symbol	Meaning	Unit
P	Financed amount. The amount on which interest is calculated. This can include the arrangement fee when the fee is financed.	£
i	Periodic interest rate. The annual interest rate divided by the number of repayment periods per year.	decimal
n	Number of payments. The number of scheduled repayment periods over the selected term.	payments
M	Periodic repayment. The scheduled payment for the selected repayment frequency.	£/payment

Step-by-step calculation

1. Convert the rate and term to the selected repayment frequency
The annual interest rate is divided by the number of repayment periods per year, and the term is converted into the corresponding number of payments.
2. Determine the amount on which interest is charged
The calculator applies the selected arrangement-fee treatment. A financed fee is added to the loan balance; an upfront fee is paid separately; a deducted fee reduces the amount received.
3. Apply the amortisation formula
The formula produces the scheduled repayment that would clear the financed balance over the selected term assuming the interest rate remains unchanged.
4. Calculate the total interest and cost
The scheduled repayments are totalled and the financed amount is subtracted to derive the estimated interest. The arrangement fee is then included in the total cost.
5. Model optional overpayments
Additional monthly and annual payments are modelled as extra repayments and the estimated interest and time savings are calculated.
6. Calculate the budget impact
If income information is provided, the calculator subtracts living expenses, existing monthly debt payments and the proposed loan repayment to estimate the remaining monthly budget.

Limitations

The calculator uses the interest rate entered by the user and does not calculate or reproduce a statutory UK APR.
Actual APR can differ because APR can incorporate relevant fees and other compulsory costs under the applicable credit agreement.
The calculation assumes the interest rate remains unchanged throughout the modelled term.
Weekly and fortnightly figures are repayment-frequency scenarios; actual UK loan agreements may use different contractual payment schedules.
The arrangement-fee calculation depends on whether the fee is financed, paid upfront or deducted from the loan proceeds.
The overpayment calculation is an illustration and does not automatically know the lender's contractual overpayment allowance or early-repayment charge.
Any early-repayment charge must be entered by the user because the applicable charge depends on the credit agreement and circumstances.
The affordability section is a budgeting estimate based on user-entered figures and is not a lender creditworthiness or affordability assessment.
Existing debts and expenses entered by the user may not include every future or irregular household cost.
The calculation assumes payments are made in full and on time and does not model missed-payment charges, defaults or other collection costs.
The rate offered to an individual may differ from an advertised representative rate.

This page is educational. It applies a standard formula to the figures you enter and shows the arithmetic behind the result. It is an estimate, not an offer, a quotation or financial advice: real costs depend on the provider's pricing, fees and underwriting, and on circumstances this calculator does not collect.

Sources & references

RegulationCONC App 1.2 — Total charge for credit and APR calculation — Financial Conduct Authority Handbook
Provides the FCA rules and methodology relevant to UK consumer-credit APR and total-charge calculations. This calculator deliberately uses the supplied interest rate for its amortisation calculation rather than presenting that calculation as a statutory APR.

Help & FAQs

Frequently Asked Questions

Clear answers to common questions to help you use this calculator confidently.

What is the monthly payment on a £10,000 loan?

Tap to view the answer

Enter £10,000, choose an APR, and set the repayment period to estimate monthly repayments in GBP. Because rates vary by credit profile, test low, base, and high APR scenarios so you can compare options before committing.

Does borrowing work differently across the UK (England, Scotland, Wales, Northern Ireland)?

Tap to view the answer

The repayment maths is the same, but lender availability, affordability checks, and local living costs vary by region, and some borrowers experience different credit access depending on circumstances and provider criteria. The tool works across the UK and outputs in GBP (£).

What are the most common mistakes people make when taking a loan?

Tap to view the answer

A major one is choosing a longer term just to lower the monthly payment while ignoring the higher total interest. Another is focusing only on APR and not checking fees or the total payable. Seeing the real cost clearly avoids both.

How does FCA guidance relate to loan affordability?

Tap to view the answer

FCA guidance encourages lenders and consumers to focus on affordability and to understand credit agreements clearly. Showing the total cost, not just the monthly payment, supports that, but it isn't official FCA advice and shouldn't replace reading your agreement.

How do Bank of England interest rates affect loan APR?

Tap to view the answer

Bank of England policy can influence broader market borrowing costs, especially for variable-rate products. The calculator doesn't predict future rate changes, but it lets you model different APR levels — updating your numbers yearly keeps borrowing plans realistic.

Need more help? Contact support or email globalcalqulate@gmail.com

We typically reply within 24–48 hours.

More United Kingdom calculators

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How to Use This Calculator

Enter the loan details

Enter the amount you want to borrow, the interest rate and the repayment term.

Review fees and repayments

Add any arrangement fee and choose how it is treated. You can also model monthly or annual overpayments.

Check your budget

Enter your take-home income, living expenses and existing monthly debt payments to estimate how the new repayment would affect your remaining budget.

Compare the cost

Compare another interest rate and see how the repayment and total cost could change.

Understanding Your Results

Loan repayment
The scheduled payment needed for the selected loan amount, interest rate, term and repayment frequency.
Interest rate
The annual interest rate used by this calculator to estimate the repayment schedule. This calculator does not calculate a statutory UK APR.
Total interest
The estimated interest charged over the full repayment schedule, before any changes caused by overpayments.
Total cost including fees
The estimated interest plus the arrangement fee entered into the calculator.
Loan term
The length of time over which the scheduled loan is repaid. A longer term can reduce each scheduled payment but usually increases the total interest paid.
Amount financed
The amount on which interest is calculated. If an arrangement fee is financed, the fee is included in this amount.
Amount you receive
The amount left after an arrangement fee that is entered as being deducted from the loan proceeds.
Interest saved through overpayments
The estimated interest reduction resulting from the additional payments entered, before any early-repayment charge.
Remaining after new repayment
Your stated monthly income remaining after living expenses, existing debt commitments and the proposed loan repayment.
Repayment / disposable income
The proposed loan repayment expressed as a percentage of the disposable income calculated from the figures you entered. This is a budgeting indicator, not a lender affordability assessment.

Key Tips

✓
Compare the interest rate, fees and total amount repayable rather than looking only at the monthly payment.
✓
A longer repayment term can reduce the scheduled payment but increase the total interest paid.
✓
Check how any arrangement fee is charged: it may be paid upfront, financed or deducted from the amount you receive.
✓
Check your agreement for any early-repayment or overpayment charge before paying extra.
✓
Include existing debt commitments when assessing whether a new repayment fits your budget.
✓
The rate you are offered may differ from an advertised representative rate.

Understanding Loans in the UK

How UK loans work

A typical fixed-rate repayment loan is repaid through scheduled instalments over an agreed term. Each payment contains an element of interest and repayment of the amount borrowed. The exact repayment structure, fees and total cost depend on the lender and the credit agreement.

Interest rate vs APR

The interest rate is the rate used to calculate interest on the borrowing. APR is a broader cost-of-credit measure that can take relevant fees and other compulsory costs into account. This calculator uses the interest rate you enter and does not attempt to reproduce a lender's statutory APR calculation.

What affects your loan repayment?

Your scheduled repayment is affected by the amount borrowed, interest rate, repayment term and payment frequency. Arrangement fees can also affect the total cost, particularly when they are added to the amount financed.

Loan term and total cost

A longer repayment term can reduce the scheduled payment, but it generally means paying interest for longer. Comparing total interest and total cost alongside the monthly payment gives a clearer picture of the borrowing cost.

Loan affordability

Your budget depends on income, living expenses and existing debt commitments as well as the new repayment. This calculator provides a budgeting estimate based on the figures you enter; it does not reproduce a lender's creditworthiness or affordability assessment.

Overpayments and early repayment

Additional payments can reduce the outstanding balance sooner and may reduce the interest paid. However, the terms of the loan determine whether early-repayment or overpayment charges apply. Check the agreement before making additional payments.

Representative rates

An advertised representative rate is not necessarily the rate every applicant receives. The rate offered to an individual can depend on the lender's assessment and the applicant's circumstances.

Formula & methodology

Formula used

Periodic repayment (amortising loan)

M = P × i × (1 + i)^n ÷ [(1 + i)^n − 1]

The standard amortisation formula used to estimate the level repayment needed to clear the financed balance over the selected term.

Periodic interest rate

i = annual interest rate ÷ payments per year

The annual interest rate is converted to the selected repayment frequency. Monthly calculations use 12 periods per year, fortnightly calculations use 26 and weekly calculations use 52.

Total interest

Total interest = total scheduled repayments − financed amount

The estimated amount paid above the financed balance over the scheduled term.

Total cost including fees

Total cost = total interest + arrangement fee

The estimated interest cost plus the arrangement fee entered by the user.

Remaining budget after the new loan

Remaining budget = income − living expenses − existing debt payments − new loan repayment

A budgeting calculation showing what remains from the stated monthly income after the entered expenses, existing debt commitments and proposed repayment.

Variable definitions

Symbol	Meaning	Unit
P	Financed amount. The amount on which interest is calculated. This can include the arrangement fee when the fee is financed.	£
i	Periodic interest rate. The annual interest rate divided by the number of repayment periods per year.	decimal
n	Number of payments. The number of scheduled repayment periods over the selected term.	payments
M	Periodic repayment. The scheduled payment for the selected repayment frequency.	£/payment

Step-by-step calculation

1. Convert the rate and term to the selected repayment frequency
The annual interest rate is divided by the number of repayment periods per year, and the term is converted into the corresponding number of payments.
2. Determine the amount on which interest is charged
The calculator applies the selected arrangement-fee treatment. A financed fee is added to the loan balance; an upfront fee is paid separately; a deducted fee reduces the amount received.
3. Apply the amortisation formula
The formula produces the scheduled repayment that would clear the financed balance over the selected term assuming the interest rate remains unchanged.
4. Calculate the total interest and cost
The scheduled repayments are totalled and the financed amount is subtracted to derive the estimated interest. The arrangement fee is then included in the total cost.
5. Model optional overpayments
Additional monthly and annual payments are modelled as extra repayments and the estimated interest and time savings are calculated.
6. Calculate the budget impact
If income information is provided, the calculator subtracts living expenses, existing monthly debt payments and the proposed loan repayment to estimate the remaining monthly budget.

Limitations

The calculator uses the interest rate entered by the user and does not calculate or reproduce a statutory UK APR.
Actual APR can differ because APR can incorporate relevant fees and other compulsory costs under the applicable credit agreement.
The calculation assumes the interest rate remains unchanged throughout the modelled term.
Weekly and fortnightly figures are repayment-frequency scenarios; actual UK loan agreements may use different contractual payment schedules.
The arrangement-fee calculation depends on whether the fee is financed, paid upfront or deducted from the loan proceeds.
The overpayment calculation is an illustration and does not automatically know the lender's contractual overpayment allowance or early-repayment charge.
Any early-repayment charge must be entered by the user because the applicable charge depends on the credit agreement and circumstances.
The affordability section is a budgeting estimate based on user-entered figures and is not a lender creditworthiness or affordability assessment.
Existing debts and expenses entered by the user may not include every future or irregular household cost.
The calculation assumes payments are made in full and on time and does not model missed-payment charges, defaults or other collection costs.
The rate offered to an individual may differ from an advertised representative rate.

Sources & references

RegulationCONC App 1.2 — Total charge for credit and APR calculation — Financial Conduct Authority Handbook

Provides the FCA rules and methodology relevant to UK consumer-credit APR and total-charge calculations. This calculator deliberately uses the supplied interest rate for its amortisation calculation rather than presenting that calculation as a statutory APR.

Calculator inputs

Loan Details

Interest & Repayment3 options

Loan Costs2 options

Overpayments3 options

Affordability & Budget3 options

Compare Alternative Loan1 option

Your results

Sources & methodology

Formula & methodology

Formula used

Periodic repayment (amortising loan)

Periodic interest rate

Total interest

Total cost including fees

Remaining budget after the new loan

Variable definitions

Step-by-step calculation

Limitations

Sources & references

What is the monthly payment on a £10,000 loan?

Does borrowing work differently across the UK (England, Scotland, Wales, Northern Ireland)?

What are the most common mistakes people make when taking a loan?

How does FCA guidance relate to loan affordability?

How do Bank of England interest rates affect loan APR?

Related calculators

More United Kingdom calculators

Calculator inputs

Loan Details

Interest & Repayment3 options

Loan Costs2 options

Overpayments3 options

Affordability & Budget3 options

Compare Alternative Loan1 option

Your results

Sources & methodology

How to Use This Calculator

Example Loan Calculation (UK)

Understanding Your Results

Key Tips

Understanding Loans in the UK

How UK loans work

Interest rate vs APR

What affects your loan repayment?

Loan term and total cost

Loan affordability

Overpayments and early repayment

Representative rates

Formula & methodology

Formula used

Periodic repayment (amortising loan)

Periodic interest rate

Total interest

Total cost including fees

Remaining budget after the new loan

Variable definitions

Step-by-step calculation

Limitations

Sources & references

How to Use This Calculator

Example Loan Calculation (UK)

Understanding Your Results

Key Tips

Understanding Loans in the UK

How UK loans work

Interest rate vs APR

What affects your loan repayment?

Loan term and total cost

Loan affordability

Overpayments and early repayment

Representative rates