Calculate Fair Interest for Personal Loans

Transparent and easy-to-use calculator for loans between friends and family in the US, UK, and other developed countries. Ensure fair lending practices with clear interest calculations.

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Calculate Interest & Total Repayment

Enter loan details to calculate interest and total amount to repay.

Defaults to today's date
$
%
Enter percentage with up to 2 decimal places (e.g., 5.50 for 5.50%)

Calculation Results

Loan Duration 0 days
Principal (Loan Amount) $0.00
Interest for This Period $0.00
Total Repayment Amount $0.00
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Calculate Interest Rate from Repayment

Enter loan details and total repayment to calculate the effective interest rate.

Defaults to today's date
$
$
Enter the original loan amount to calculate effective interest rate

Calculation Results

Loan Duration 0 days
Principal (Loan Amount) $0.00
Interest for This Period $0.00
Effective Annual Interest Rate 0.00%

About Fair Personal Loan Calculations

Why Calculate Interest?

Calculating interest for personal loans between friends ensures transparency and maintains healthy relationships. It establishes clear expectations and prevents misunderstandings about repayment amounts.

How Interest is Calculated

Our calculator uses the simple interest formula: Interest = Principal × Rate × Time. Time is calculated in days using a 365-day year for consistency across all calculations.

Fair Lending Practices

For loans between friends, it's recommended to use a fair interest rate that reflects current market conditions while considering the personal relationship. Rates between 2-8% are common for such arrangements.