Debt Consolidation Calculator
See if consolidating your debts into a single loan will save you money and simplify your payments.
| Debt | Balance | Rate | Min Pmt | Total Interest |
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Compare what you would pay by continuing your current debts separately versus rolling them into one consolidation loan, including the new monthly payment and total interest.
How Debt Consolidation Calculator Works
For each existing debt, the calculator simulates a month-by-month payoff at that debt's own rate, paying whichever is larger each month — the stated minimum payment or that month's interest plus $1 — and totals the interest across all months until every balance reaches zero. Adding those figures up gives your projected interest if you kept paying each debt separately at its minimum.
For the consolidation option, it adds up all your balances into a single principal, then applies the standard amortization formula — payment = balance × r ÷ [1 − (1 + r)⁻ⁿ] — using your entered consolidation rate and loan term to find one combined monthly payment. Total interest on the new loan is simply that payment multiplied by the number of months, minus the original combined balance.
The results compare your current total minimum payments against the new single payment, and your projected current total interest against the new loan's interest, so you can see both the monthly cash-flow effect and the long-term interest effect side by side.
See It In Action
Who Uses Debt Consolidation Calculator and Why
- Comparing the total interest of paying off several debts separately at their minimums against consolidating them into one loan.
- Checking whether a specific consolidation loan offer's rate and term actually saves money versus your current debts.
- Seeing how a new single monthly payment compares to your combined current minimum payments.
- Evaluating whether a lower consolidation rate but longer term still nets a real savings versus separate payoff.
Mistakes to Avoid
- Assuming consolidation always saves money — a consolidation rate lower than your current average rate typically saves interest, but stretching the same balance over a much longer term can sometimes increase total interest even at a lower rate, so both figures need checking.
- Overlooking origination fees or closing costs on the new consolidation loan — the comparison here is based purely on rate and term, so any upfront fee on the new loan should be subtracted from the projected net savings separately.
- Consolidating without checking the per-debt breakdown — if your consolidation rate is higher than one of your existing low-APR debts, that specific balance may end up accruing more interest folded into the new loan than it would have on its own.
Tips for Best Results
- Check the per-debt breakdown to see which of your current balances benefit most from consolidating, especially if the new rate is higher than some individual debts' rates.
- Subtract any consolidation loan origination fee from your projected net savings, since the built-in comparison doesn't account for upfront loan costs.
Fixing Common Problems
My projected consolidation savings look too good to be true. — Check whether the comparison accounts for an origination fee or closing cost on the new loan — the built-in projection is based purely on rate and term, so any upfront fee on the consolidation loan should be subtracted from the shown net savings separately.
Terms Explained
Debt consolidation: Combining several existing debts into a single new loan, typically to simplify payments and potentially reduce the overall interest rate.
Origination fee: An upfront charge some lenders apply to a new loan, not included in this calculator's rate-and-term-based comparison.