Interest-Only Loan Calculator
Calculate weekly, fortnightly or monthly interest-only repayments for a manually entered loan amount and rate, plus daily and total interest estimates.
An estimate is the beginning.
Change the inputs, compare the result and download a branded report—then verify important decisions against actual lender policy and your complete circumstances.
Interest-only loan calculator
Calculate the interest-only payment for a loan amount without mixing it into the principal-and-interest amortisation schedule.
The periodic estimate is the entered loan balance multiplied by the annual rate, divided by the selected number of payments per year. It does not include principal reduction.
Interest-only repayments do not reduce the original principal. Actual lender repayments can differ because of daily timing, rate changes, fees, offsets and product rules. Repayments may rise materially when an approved interest-only period ends and principal-and-interest repayments begin.
Download this calculation as a PDF.
The report includes the figures currently shown, Rockvale Finance contact details, the calculation assumptions and an important disclaimer.
Results are estimates only and do not constitute credit, financial, tax or legal advice. They exclude some fees and may use simplified assumptions. Actual repayments, borrowing capacity, tax, costs and eligibility depend on lender or government rules and your complete circumstances.
Turn the estimate into a better question.
An interest-only estimate shows the interest component for a manually entered loan balance. It is separate from the principal-and-interest amortisation schedule because the original principal generally does not reduce during the interest-only period.
- 01Enter the exact loan amount
- 02Enter the annual interest rate
- 03Choose the intended interest-only period
- 04Compare monthly, fortnightly, weekly and average daily interest
Important considerations.
- The principal generally remains outstanding
- Repayments may rise when principal-and-interest payments begin
- Actual lender calculations can use different daily timing and repayment dates
- Rates, fees, offsets and product restrictions are not included
Does an interest-only repayment reduce the loan balance?+
Usually not. It generally covers the interest charged for the period, so the principal remains unless additional principal repayments are permitted and made.
Why can repayments rise after an interest-only period?+
The remaining principal may need to be repaid over the shorter part of the original loan term, so the later principal-and-interest repayment can be materially higher.
Is interest-only suitable for every investor?+
No. Cash flow, total interest, tax advice, future repayment capacity and product restrictions should all be considered for the borrower’s circumstances.