The loan amount calculator will help you to work out the amount that you will have to pay back on a monthly basis if you take out a loan of a certain amount, over a particular term, with a specific interest rate. It's important that you take all of these factors into consideration when you're choosing your loan, because even if the interest rate is competitive, if you take out a loan over too short a period, you might struggle meeting the monthly repayments. There are two main types of personal loan: where the loan is secured against a valuable asset such as your home or where it is not secured against anything.
As you can imagine, securing a loan against a property means that you will usually get a lower rate of interest, because the loan is not considered as risky by the lender. However, you have to counterbalance that against the fact that you are liable to have to give up your property if you become unable to meet the repayments on your loan. Only take out this type of loan if you are financially secure and have some leeway if you suddenly lost your income. The loan calculator will not help you to make this type of decision, but it can be a useful tool to help you with your initial research.