See a loan's full payment plan: how much you pay, how much interest and how much principal each year, plus the remaining balance — from amount, interest and term.
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Enter the amount, the annual interest and the term. The monthly payment and amortization schedule recalculate instantly.
Amortization schedule (per year)
| Year | Paid | Interest | Principal | Balance |
|---|---|---|---|---|
| 1 | 13,322 | 5,795 | 7,527 | 92,473 |
| 2 | 13,322 | 5,331 | 7,991 | 84,481 |
| 3 | 13,322 | 4,838 | 8,484 | 75,997 |
| 4 | 13,322 | 4,315 | 9,008 | 66,989 |
| 5 | 13,322 | 3,759 | 9,563 | 57,426 |
| 6 | 13,322 | 3,169 | 10,153 | 47,273 |
| 7 | 13,322 | 2,543 | 10,779 | 36,494 |
| 8 | 13,322 | 1,878 | 11,444 | 25,049 |
| 9 | 13,322 | 1,172 | 12,150 | 12,899 |
| 10 | 13,322 | 423 | 12,899 | 0 |
Amounts are aggregated per year. Early on you pay more interest, and toward the end more principal.
Indicative loan figures. The payment uses the annuity formula (fixed rate). The real interest and APR depend on the lender, on the Bank of England base rate and on fees — the figures here are estimates. Instant in-browser calculation, no account. Last updated: 11 July 2026 · Bank of England base rate.
⚖︎ Results are for informational purposes and do not constitute tax advice. For specific situations, consult a licensed accountant or the relevant tax authority.
The fixed monthly payment uses the annuity formula, from the loan amount, the monthly rate (annual ÷ 12) and the number of months:
For £200,000 over 20 years at 5%: the monthly payment is about £1,320, and in the first month you pay about £833 interest against just £487 principal — the ratio reverses toward the end.
It is the loan's payment plan: a table that shows, for each period, how much of the payment is interest, how much is principal (the amount borrowed) and how much is left to pay (the balance).
On each row (here, per year) you see the total paid, the interest part, the principal part and the balance at the end of the period. Interest plus principal equals the payment made.
Because interest is charged each month on the remaining balance, which is highest at the start. As the balance falls, the interest part shrinks and the principal part grows, even though the payment stays constant.
The principal is the part of the payment that actually reduces the amount borrowed, and the interest is the cost of the loan for that month. Together they make up the fixed monthly payment.
From the previous month's balance you subtract the principal paid in the current month. At the end the balance reaches zero and the loan is fully repaid.
Yes. On a variable rate that follows the Bank of England base rate, the payment and therefore the schedule are recalculated whenever the rate changes. This calculator uses a fixed rate for the estimate.
It shows how much interest you pay in total and over time, helps you plan an overpayment or early repayment, and lets you compare terms to find the best balance between payment and total cost.
It is the method with equal monthly payments used by most UK repayment mortgages and loans. The alternative, interest-only, pays just the interest each month and leaves the full balance to clear at the end.