Debt Consolidation Calculator

Debt Consolidation Calculator

Your Current Debts

Consolidation Loan Terms

Total balance to consolidate: $20,000 at a weighted average of 20.7% APR today.

Consolidate or Keep Paying?

✅ Consolidating saves $6,624 in interest and 31 fewer months of debt.
Current (Minimums)
79 mo
to debt-free
Interest: $13,397
Payment: $570.00/mo
Consolidated
48 mo
fixed payoff term
Interest: $6,773
Payment: $557.77/mo
Origination fee (financed)$600
New loan amount$20,600
Monthly cash flow change+$12.23/mo
Total interest saved$6,624

Debts Being Consolidated

Credit Card 1
$7,500
Credit Card 2
$4,200
Store Card
$1,800
Personal Loan
$6,500

A debt consolidation loan combines multiple balances — credit cards, store cards, personal loans — into a single fixed-rate loan. This calculator compares your current path (paying minimums on each debt separately) against a proposed consolidation loan, showing the exact interest saved (or lost), the new monthly payment, and how much faster you'd be debt-free.

How the Comparison Is Calculated

The "current path" simulates paying only the minimum on each debt every month, rolling freed-up minimums into the smallest remaining balance as each is paid off — the standard debt-payoff waterfall. The "consolidated" side uses the standard loan amortization formula on the combined balance plus any financed origination fee.

M = (B + F) × r ÷ [1 − (1+r)⁻ⁿ]
VariableDefinition
MNew consolidated monthly payment
BTotal balance across all debts being consolidated
FOrigination fee, if financed into the loan
rMonthly interest rate = New APR ÷ 12
nLoan term in months

Example: $20,000 across four cards averaging 22% APR, paid at minimums, takes years and costs thousands in interest. Consolidated into a 48-month loan at 13.5% with a 3% fee ($600 financed), the new payment is fixed and predictable — and the calculator shows exactly how much interest that trade saves.

💡 Expert Pro-Tip

A lower monthly payment isn't automatically a win. Stretching $20,000 from a 3-year payoff to a 6-year loan can cut your monthly payment in half — but if it doubles your total interest, you've traded short-term relief for long-term cost. Always compare both numbers side by side: total interest paid and months to debt-free, not just the sticker-shock monthly payment. If your current weighted-average APR is already below what a consolidation lender is offering, skip consolidation and use the Debt Payoff Calculator's snowball or avalanche method instead — it's free.