Quick answer
The calculator compares paying off $15,000 at 22% APR with $400 a month against a new 48-month loan at 9%. Your current plan costs $10,609.85 in interest; the new loan costs $2,917.23, saving $7,692.62, with a monthly payment of $373.28.
Enter the balance, current APR, monthly payment, and the new loan's APR and term. The calculator returns interest on both plans and the saving. Use this debt consolidation calculator to check your own figures.
Related tools: Credit Card Payoff Calculator: Months to pay off a card balance with a fixed monthly payment. Credit Card Interest Calculator: Interest charged on a card balance for a billing period. Debt Ratio Calculator: Total liabilities as a share of total assets.
How to use the Debt Consolidation Calculator
- Enter total balance ($) (above 0).
- Enter current average APR (%) (between 0 and 100).
- Enter total monthly payment now ($) (above 0).
- Enter new loan APR (%) (between 0 and 100).
- Enter new loan term (months) (a whole number, between 1 and 360).
- Press Calculate to see the result, and use Reset to start again.
| Input | What to enter | Allowed values |
|---|---|---|
| Total balance | A number, in $ | > 0 |
| Current average APR | A number, in % | ≥ 0, ≤ 100 |
| Total monthly payment now | A number, in $ | > 0 |
| New loan APR | A number, in % | ≥ 0, ≤ 100 |
| New loan term | A whole number, in months | ≥ 1, ≤ 360 |
Formula and method
Formula
current plan: simulate payments to zero; new loan: standard amortizing payment
IEEE-754 double precision; shown to the decimals indicated.
Compares total interest only; fees and origination charges for the new loan are not included.
Worked examples
These examples are verified: each one is an automated test case that the live calculator must reproduce exactly.
Example 1
Inputs: Total balance = 15000; Current average APR = 22; Total monthly payment now = 400; New loan APR = 9; New loan term = 48.
| Result | Value |
|---|---|
| Interest saved | $7,692.62 |
| Interest on your current plan | $10,609.85 |
| Interest on the new loan | $2,917.23 |
| New monthly payment | $373.28 |
| Months on your current plan | 65 |
Example 2
Inputs: Total balance = 30000; Current average APR = 18; Total monthly payment now = 800; New loan APR = 11; New loan term = 60.
| Result | Value |
|---|---|
| Interest saved | $5,284.50 |
| Interest on your current plan | $14,420.86 |
| Interest on the new loan | $9,136.36 |
| New monthly payment | $652.27 |
| Months on your current plan | 56 |
The first line is the headline result (interest saved). Below it the debt Consolidation Calculator lists interest on your current plan, interest on the new loan, new monthly payment and months on your current plan, which describe the same case from other angles. IEEE-754 double precision; shown to the decimals indicated.
Compare total cost, not payment
The new payment of $373.28 is lower than $400 and the debt is repaid in 48 months, while the current plan takes far longer at 22%. Check the new loan's fees and any origination charge, which are not included.
When it does not help
A consolidation loan only saves money if its rate is lower, and a longer term can raise total interest even at a lower rate. The payment must exceed monthly interest on the current debt. Avoid running up the old cards again.
How the result changes with total monthly payment now
Holding every other input at the first worked example, this table changes only total monthly payment now. It shows how sensitive the answer is to that one value; each row was produced by running this calculator.
| Total monthly payment now | Interest saved | Interest on your current plan | Interest on the new loan |
|---|---|---|---|
| 400 | $7,692.62 | $10,609.85 | $2,917.23 |
| 800 | $632.07 | $3,549.30 | $2,917.23 |
| 1600 | -$1,304.52 | $1,612.71 | $2,917.23 |
What happens with invalid input
These messages are produced by the calculator itself, so you know what to fix.
- Total monthly payment now: entering "100" shows "The current payment must exceed the first month's interest." beside that field and no result.
- Total balance: entering "0" shows "Total balance must be greater than 0." beside that field and no result.
Choosing between the Debt Consolidation Calculator and similar calculators
Each row shows what a related calculator on this site asks for and what it returns, so you can pick the one that matches your question.
| Calculator | You enter | It returns |
|---|---|---|
| [Credit Card Payoff Calculator](/finance/credit-card-payoff-calculator/) | balance, aPR and monthly payment | Months to pay off |
| [Credit Card Interest Calculator](/finance/credit-card-interest-calculator/) | average daily balance, aPR and days in billing cycle | Interest for the period |
| [Debt Ratio Calculator](/finance/debt-ratio-calculator/) | total liabilities and total assets | Debt ratio |
| [Debt-to-Income Ratio Calculator](/finance/debt-to-income-ratio-calculator/) | monthly debt payments and gross monthly income | Debt-to-income ratio |
| [Auto Loan Calculator](/finance/auto-loan-calculator/) | vehicle price, down payment and interest rate | Monthly payment |
Background: personal finance estimates
Financial calculators project from the numbers you give them. Long-range tools depend on guesses about returns and tax rates that are unlikely to hold exactly, payoff tools assume a fixed payment and rate, and tax or salary results depend on the tax year, filing status and country. Official calculators say their output is for reference only.
For decisions that matter, use conservative inputs and check the figures against your lender, plan documents or a qualified adviser.
Assumptions and limitations
- Payment must exceed monthly interest
Results are estimates for planning, not financial advice. Lender terms, fees, taxes and rounding rules can change real figures, so confirm important numbers with your lender or a licensed adviser.
If a required value is empty, not a number, or outside its allowed range, the form marks that field with a message and shows no result instead of a misleading number. The automated checks deliberately try invalid entries for total monthly payment now and total balance to confirm this.
Frequently asked questions
What credit score do I need?
Lower rates need better credit, and lenders set their own cutoffs.
Does consolidation hurt credit?
A new inquiry can lower it briefly.
Is a balance transfer an alternative?
Sometimes, with a 0% introductory rate and fee.
What does the Debt Consolidation Calculator calculate?
Interest saved by replacing your debts with one fixed loan. It returns Interest saved, Interest on your current plan, Interest on the new loan, New monthly payment and Months on your current plan.
What formula does the Debt Consolidation Calculator use?
current plan: simulate payments to zero; new loan: standard amortizing payment. Compares total interest only; fees and origination charges for the new loan are not included.
What do I need to enter in the debt Consolidation Calculator?
You enter Total balance ($), Current average APR (%), Total monthly payment now ($), New loan APR (%) and New loan term (months).
How is the result rounded or limited?
IEEE-754 double precision; shown to the decimals indicated. Payment must exceed monthly interest.
What is an example of a debt Consolidation result?
With total balance 15000, current average APR 22, total monthly payment now 400, new loan APR 9 and new loan term 48, the interest saved is $7,692.62.
Where does the method come from?
The method follows: OpenStax, Principles of Finance (Rice University): time value of money, annuities and loan amortization.
Can I rely on this calculator for a decision?
Results are estimates for planning, not financial advice. Lender terms, fees, taxes and rounding rules can change real figures, so confirm important numbers with your lender or a licensed adviser. For this calculator in particular: Payment must exceed monthly interest.
Related calculators
- Credit Card Payoff Calculator — Months to pay off a card balance with a fixed monthly payment.
- Credit Card Interest Calculator — Interest charged on a card balance for a billing period.
- Debt Ratio Calculator — Total liabilities as a share of total assets.
- Debt-to-Income Ratio Calculator — Monthly debt payments as a share of gross monthly income.
- Auto Loan Calculator — Monthly car payment after down payment and trade-in.
- Amortization Calculator — Full amortization schedule with optional extra monthly payments.
Sources
- OpenStax, Principles of Finance (Rice University): time value of money, annuities and loan amortization
Content last reviewed 2026-11-04. Formulas and worked examples are checked by automated tests against independently computed values.