Loan Comparison Calculator

Compare up to 4 loan offers side by side to find the best deal. Calculate monthly payments, total interest costs, and potential savings to make an informed decision.

Loan Selection

Loan Option 1 Required

Name of the lending institution
Total amount you want to borrow
Annual percentage rate (APR)
One-time fees charged by the lender
Discount points to reduce interest rate

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Monthly Payment: Enter details above
Total Cost: Enter details above

Loan Option 2 Optional

Discount points to reduce interest rate

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Monthly Payment: Enter details above
Total Cost: Enter details above

Loan Option 3 Optional

Discount points to reduce interest rate

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Monthly Payment: Enter details above
Total Cost: Enter details above

Loan Option 4 Optional

Discount points to reduce interest rate

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Monthly Payment: Enter details above
Total Cost: Enter details above

Understanding Loan Comparison

Why Compare Loans

Comparing multiple loan offers can save you thousands of dollars over the loan term. Even a small difference in interest rates can result in significant savings.

  • Interest Rate Differences: 0.5% rate difference can save $5,000+ on a $200K loan
  • Fee Variations: Origination fees range from 0% to 8% of loan amount
  • Term Options: Different terms affect monthly payments and total cost

Key Comparison Factors

When comparing loans, focus on these critical factors that affect the total cost and your monthly budget.

  • APR: Annual Percentage Rate includes interest and fees
  • Monthly Payment: Must fit comfortably in your budget
  • Total Interest: Amount paid over the life of the loan
  • Loan Terms: Prepayment penalties and flexibility

Smart Shopping Tips

Follow these strategies to find the best loan deal and avoid common pitfalls during the loan shopping process.

  • Shop Within 14-45 Days: Multiple inquiries count as one for credit scoring
  • Get Pre-approved: Know your budget before shopping
  • Compare APR: Not just interest rates
  • Read All Terms: Understand penalties and restrictions

Frequently Asked Questions

It's recommended to compare at least 3-5 loan offers from different types of lenders to ensure you're getting the best deal available. Include banks, credit unions, and online lenders in your comparison.

Both are important, but focus on the total cost of the loan. A lower monthly payment might mean a longer term and more total interest paid. Consider your budget and long-term financial goals.

It depends on how long you plan to keep the loan. Calculate the break-even point to determine if paying points makes financial sense. Generally, points are beneficial if you'll keep the loan for many years.

Origination fees increase the total cost of borrowing. Compare the APR (which includes fees) rather than just the interest rate for a true comparison. Some lenders offer no-fee loans with slightly higher rates.

APR (Annual Percentage Rate) includes both the interest rate and most fees, giving you the true cost of borrowing. Always compare APRs rather than just interest rates when evaluating loan offers.

Higher credit scores typically qualify for better interest rates and terms. Check your credit score before applying and consider improving it if needed. Even a small score improvement can save thousands over the loan term.