Debt Consolidation Calculator
Find out whether a debt consolidation loan would lower your monthly payment and your total cost, after fees.
Debts you want to combine
Example numbers are filled in. Enter what you pay now on each debt.
Consolidation loan offer
Often 0% to 10% of the loan. Enter 0 if none.
Estimates only. Assumes fixed rates, on-time payments, no new charges and that you keep paying your current debts as entered. Lenders set your actual rate, fee and term based on your credit. This calculator runs in your browser and does not store or send your information. Not financial advice.
Consolidation at a glance
How to tell if consolidation will save you money
Compare three numbers between your current debts and the new loan:
The monthly payment
Can you comfortably afford it?
The total cost
All the interest you'll pay, plus any fees.
The time to become debt-free
A lower monthly payment is not always a better deal. A longer loan term can lower your payment while increasing the total interest you pay.
A worked example
Keeping your current debts
You owe $15,000 across credit cards at an average rate of 22% and pay $500 a month. At that pace, you would be debt-free in about 44 months and pay roughly $6,977 in interest.
Taking the consolidation loan
Now suppose you qualify for a 36-month consolidation loan at 12% with a 5% origination fee. To receive $15,000 after the fee, you would borrow about $15,789. Your payment would be about $524 a month, and your total interest and fees would be about $3,880.
In this example, the loan costs about $24 more each month but saves roughly $3,100 and gets you out of debt eight months sooner.
Costs to include
- Origination fees: often 1% to 10% of the loan, usually deducted from the money you receive.
- Balance transfer fees: typically 3% to 5% of the amount transferred.
- The rate after a promotional period ends, for balance transfer cards.
- Prepayment penalties, which are uncommon on personal loans but worth checking.
Don't qualify for a good rate?
If consolidation loans are too expensive, debt settlement or a debt management plan may work better. Talk to a specialist.
