Refinance Calculator

About the Refinance Calculator

Refinancing a loan—whether it's a mortgage, auto loan, or personal loan—can be a powerful way to lower your monthly payments, reduce your interest rate, or change the term of your loan. This calculator is designed to help you determine if refinancing makes financial sense for you.

How it Works

The calculator compares your current loan against a new loan offer to give you a clear picture of the potential financial impact.

• Current Loan: Enter the remaining balance, your current interest rate, and the number of years left on your loan.
• New Loan Offer: Input the new interest rate, the new loan term (in years), and any closing costs associated with the new loan.

Key Metrics

• Monthly Savings: The immediate difference between your old and new monthly payments. A positive number means your payment will go down.
• Lifetime Savings: The total amount of interest you'll save (or spend) over the life of the loan, after accounting for closing costs. This is the most important number for long-term financial health.
• Breakeven Point: This tells you how many months it will take for your monthly savings to cover the closing costs. If you plan to keep the loan longer than the breakeven point, refinancing is typically a good idea.

Use this tool to weigh the pros and cons and make an informed decision about your loan.