Interest Rate Calculator

Sometimes the “headline rate” you’re quoted isn’t the full picture. Fees, balloon payments, and loan structure can all change the real cost of borrowing.

This calculator works backwards — you enter the loan amount, term, and actual repayment amount, and it shows your real annual interest rate (the effective rate) so you can compare apples to apples.

It’s ideal for:

• Checking if a “too good to be true” offer really stacks up

• Comparing different lender quotes

• Understanding the true cost of your finance

How to work out the real interest rate on a loan

Enter the loan amount, the repayment you have been quoted, the term, and any balloon. The calculator works out the annual interest rate that those repayments imply. If a lender quotes a low rate but the repayments are higher than expected, the difference is usually fees or a different loan structure.

Comparing equipment and business loan quotes

Run each quote through the calculator using the same loan amount and term, then compare the rates side by side. Also compare the establishment fee, monthly account fees and early payout terms, since these are not always built into the repayment.

Want lower repayments? Try different terms and balloons in our chattel mortgage calculator, see our equipment finance options, or apply now.

Figures shown are estimates only and should be used as a guide.

Your actual rate will depend on your approved loan terms.