Debt Consolidation Calculator
Compare paying your debts as they are with rolling them into one loan, including fees
Your Debts
Consolidation Loan
Consolidating saves you
$517
in interest and fees · monthly payment drops by $176.59 to $423.41
New monthly payment
$423.41
now $600.00
Interest + fee with the loan
$6,904
$7,421 if you keep paying as now
Debt-free in
5 yr
4 yr 2 mo on your current payments
Loan APR with the fee
13.26%
borrowing $19,474
Total debt over time
Your current payments vs the consolidation loan
Total cost of borrowing
Interest plus fees for each choice
Your Debts Today
| Debt | Balance | APR | Payment | Paid Off In | Interest |
|---|---|---|---|---|---|
| Credit card | $8,000 | 22.9% | $250 | 4 yr 2 mo | $4,476 |
| Store card | $4,500 | 19.9% | $150 | 3 yr 6 mo | $1,776 |
| Personal loan | $6,000 | 12.0% | $200 | 3 yr | $1,169 |
When Consolidation Helps
A consolidation loan pays off several debts so you make one payment, ideally at a lower rate. It saves money when the new rate, including the origination fee, is lower than what you pay now. A longer term can lower the monthly payment yet cost more overall, which this comparison shows.
The Formulas
Loan with fee = debts ÷ (1 − fee %)
Payment = P × r ÷ (1 − (1 + r)^−n)
Savings = current interest − loan interest − fee
Current debts are paid at their fixed monthly payments until each reaches zero.
Before You Consolidate
- •Compare the loan's APR, which includes the fee, with your current rates
- •Avoid stretching the term just to get a lower payment
- •Don't run the paid-off cards back up
- •A 0% balance transfer card can beat a loan for credit card debt
- •Check for prepayment penalties on the loan