⚖️ Loan Comparison Calculator
Compare two loans side by side — find which saves you more money
Loan Option 1
Loan Option 2
✅ Key Takeaways — Loan Comparison Calculator
- Always compare loans by total cost over the full term — not just monthly payment or interest rate
- APR is the most accurate comparison tool — it includes fees, points, and costs the rate alone doesn’t show
- A lower rate with higher fees can cost more than a higher rate with no fees — calculate the break-even point
- Loan term dramatically affects total cost: a 15-year mortgage builds equity twice as fast as a 30-year
- Use this calculator to compare FHA vs. conventional, fixed vs. ARM, and multiple lender offers side by side
When comparing two loans, the best choice depends on your goals. A lower monthly payment gives breathing room in your budget. A shorter term saves money in total interest. Use this calculator to see both payments side-by-side and calculate exactly how much you save by choosing the better option.
Always compare total interest paid over the life of both loans. A lower payment with a longer term often costs thousands more overall.
Calculate monthly savings of the lower-payment loan, then determine if those savings justify the higher total interest cost over time.
A $300,000 loan at 7% costs ~$418,000 total over 30 years vs ~$323,000 over 15 years — a $95,000 difference in total interest.
If one loan has lower rates but higher upfront costs, calculate the break-even point — where cumulative savings exceed the upfront cost.
Compare both the monthly payment AND the total interest paid. If you plan to stay long-term, the lower total interest loan is usually better. If you need cash flow flexibility, the lower payment may be worth the extra interest.
The interest rate is the base cost of borrowing. APR includes the interest rate plus fees, points, and other costs — making it a more complete comparison tool. Always compare APRs when shopping lenders.
Refinancing makes sense when you can lower your rate by at least 0.75–1% and plan to stay long enough to recoup closing costs (typically 2–4 years).
Yes — most loans allow early payoff without penalty. One extra payment per year on a 30-year mortgage can cut 4–5 years off the loan and save tens of thousands in interest.
Add origination fees to the loan amount for a true comparison. If a lender charges 1 point on $300,000, enter $303,000 as the loan amount to make the total cost comparison accurate.
This calculator lets you enter two loans side by side and instantly see which costs less in monthly payments, total interest, and total repayment. Use it to compare a 15-year vs 30-year mortgage, fixed vs ARM, or two lender offers.
According to the Consumer Financial Protection Bureau, even a 0.5% rate difference on a $300,000 mortgage saves over $30,000 in total interest.
🕐 Last Updated: July 11, 2026