Debt consolidation calculator

What this calculator does

This calculator evaluates whether combining several debts into one new loan improves monthly cash flow and total payoff cost. It compares your current expected payments with a new amortizing loan, then includes any origination fee so the apparent lower payment is not viewed in isolation.

It is global because it uses general amortizing-loan math. It does not check eligibility, credit score, tax effects, promotional card terms, or lender rules.

How to use it

1. Enter total debt to refinance.
2. Enter current monthly payment and expected months remaining.
3. Enter new rate, new term, and any upfront fee.
4. Review monthly savings first, then total savings.
5. Check fee breakeven before accepting a lower monthly payment.

A worked example

With 24,000 of debt, 900 current monthly payment, 36 months remaining, a new 9% loan over 36 months, and a 600 fee, the calculator estimates the new payment, monthly savings, total paid under each path, and the number of months needed for savings to offset the fee.

What the result means

Monthly savings helps cash flow, but total savings determines whether the consolidation is truly cheaper. A lower monthly payment can still cost more if the new term is much longer or the fee is high.

Common mistakes

• Ignoring origination fees.
• Extending the term so much that total cost rises.
• Using current minimum payments without knowing payoff months.
• Consolidating debt but continuing to add new debt.

When it is useful

Useful when reviewing a consolidation loan, comparing balance-transfer alternatives, or checking whether a lower payment is worth a longer payoff.