Loan Calculator
See your real monthly payment and total cost before you borrow
Interest shrinks as you pay down the balance — how most bank loans work.
Nigerian bank personal loans typically run 15–25% a year.
Monthly payment
₦94,560
Total repayment
₦1,134,715
Effective annual rate
24.0%
Balance remaining over time
Repayment schedule
| Month | Payment | Interest | Balance |
|---|---|---|---|
| 1 | ₦94,560 | ₦20,000 | ₦925,440 |
| 2 | ₦94,560 | ₦18,509 | ₦849,390 |
| 3 | ₦94,560 | ₦16,988 | ₦771,818 |
| 4 | ₦94,560 | ₦15,436 | ₦692,695 |
| 5 | ₦94,560 | ₦13,854 | ₦611,989 |
| 6 | ₦94,560 | ₦12,240 | ₦529,669 |
| 7 | ₦94,560 | ₦10,593 | ₦445,703 |
| 8 | ₦94,560 | ₦8,914 | ₦360,057 |
| 9 | ₦94,560 | ₦7,201 | ₦272,699 |
| 10 | ₦94,560 | ₦5,454 | ₦183,593 |
| 11 | ₦94,560 | ₦3,672 | ₦92,705 |
| 12 | ₦94,560 | ₦1,854 | ₦0 |
Estimates only. Actual loan offers may include additional fees (processing, insurance, late-payment penalties) not captured here — confirm the full cost with your lender before signing.
Flat Rate vs. Reducing Balance — Why the Same Rate Can Cost Very Differently
Reducing balance(also called amortizing) loans charge interest only on what you still owe. As you pay down the principal, the interest portion of each payment shrinks. This is how most bank personal loans, car loans, and mortgages in Nigeria work, and the rate you’re quoted is the rate you actually pay.
Flat rate(or add-on interest) loans calculate interest once on the full original amount and spread it evenly across every payment — even in the final month, when you’ve already repaid most of the principal. This is common with digital lenders and microfinance apps in Nigeria, and it means a rate that sounds low (like “5% flat monthly”) can work out to nearly double that as a true annual percentage rate.
Use the calculator above to enter any loan offer’s stated rate and term — if it’s a flat-rate loan, we’ll show you the equivalent reducing-balance rate so you can compare it fairly against a bank loan or any other offer.