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The refinance calculator can help plan the refinancing of a loan given various situations, and also allows the side-by-side comparison of the existing or refinanced loan. Modify the values to see results update live.

Refinance Parameters

Current Loan
$
$
$
years
yrs
mo
%
New Loan
years
%
%
$
$
Results

The APR for the new loan is 6.329%, which is 0.671% lower than the 7% interest rate of the current loan. Refinancing would be financially less expensive.

New Monthly Payment

$1,791.08

  • Monthly pay savings $8.92/month
  • Paid off faster by 45 months
  • Lifetime savings $76,641.36
  • Upfront cost $6,500.00
  • Break-even point 30 months
Current loan (remaining) New loan Difference
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How Refinancing Works

Refinancing replaces your current loan with a new one, ideally at a lower rate or with better terms. This calculator compares the remaining cost of your current loan against a new loan, factoring in points, closing costs, and any cash you take out, so you can see whether refinancing actually pays off.

What Is the Break-Even Point?

The break-even point is how many months it takes for the interest you save with the new loan to outweigh the upfront costs of refinancing. Once you pass that point, refinancing is a net financial win; if you plan to move or pay off the loan before then, refinancing may not be worth it.

Why Does APR Differ From the Interest Rate?

The interest rate reflects only the cost of borrowing, while the APR also spreads points and fees over the life of the loan, giving a more complete picture of the loan's true cost.