Use the calculator to compare assumptions
A loan calculator helps compare an amount, an annual interest rate, a repayment term and known fees. Use the figures from a written quotation when available. A flat payday charge or a subscription fee should not be entered as though it were an annual interest rate. The estimate depends on its calculation method, so payment frequency, financed charges and irregular dates can produce a different result in the final agreement.
Enter the rate in the correct format
Treat the calculated instalment as one line in a broader budget, alongside existing debts, housing and irregular expenses. The FCAC Budget Planner can organise those outgoings, while a credit counsellor can help interpret a persistent deficit. A lower payment obtained by extending the term may cost more overall. This tool does not assess eligibility or promise funding; compare its result with the lender’s disclosed schedule and total repayment before deciding whether the commitment fits.
Keep an estimate separate from a credit decision
- FCAC Budget PlannerBuild the wider income-and-expense budget needed to assess an instalment.
- Credit Counselling Society consultationsDiscuss repayment capacity when an estimate leaves insufficient room for essentials.