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Debt Consolidation Calculator

Rolling several debts into one loan can lower your rate, or just stretch the payments. Compare what you pay now with a consolidation loan, fees included.

$5,134Saved by consolidating

Now: months to pay off52
Now: total interest$10,591
New loan amount (incl. fee)$18,557
New monthly payment$488.67
New: interest + fee$5,456

Consolidation only helps if you stop adding to the old balances. A lower payment over a longer term can cost more overall.

How this calculator works

Your current path: the time and interest to clear the balance at its average rate with what you pay now.

The new loan is grossed up for the origination fee, because fees are usually deducted from the money you receive.

Interest plus the fee on the new loan is compared with the interest on your current path.

A lower monthly payment doesn’t always mean savings: a long new term can cost more in total.

Worked example

$18,000 at 23% paying $550 a month vs a 12% loan over 4 years with a 3% fee

  1. Now: about 52 months and $10,600 of interest.
  2. New loan: about $18,560 at 12% for 48 months.
  3. Saving: about $5,100.

Questions people ask

What kinds of consolidation are there?

Personal loans, 0% balance transfer cards, home equity loans and nonprofit debt management plans.

Will it hurt my credit score?

A new application causes a small, temporary dip; paying down cards can improve your score over time.

What is the biggest risk?

Running the old cards back up after consolidating, ending with more debt than before.

Should I use home equity?

It can offer a low rate but turns unsecured debt into debt secured by your home.

Last reviewed October 2, 2026