Loan Amortization Calculator — Full Payment Schedule by Month

An amortization schedule is a complete table of every loan payment, showing: payment number, payment date, total payment amount, portion going to interest, portion going to principal, and remaining balance after the payment. It reveals exactly how much of each payment reduces your debt vs enriches the lender. Most home loan servicers provide this schedule and it's available on request — or generate one here for free.

After 5 years on a $300,000 loan at 6.5% for 30 years ($1,896/month), you've made 60 payments = $113,760 total paid. But most of that was interest — your remaining balance is approximately $280,000. That means you've built only about $20,000 in equity through payments (plus any appreciation). After 10 years: remaining balance ≈ $255,000 → ~$45,000 equity through payments. Equity builds slowly in the first decade.

Extra principal payments directly reduce the outstanding balance, which reduces future interest charges. If you pay $200 extra/month on a $300,000 loan at 6.5% for 30 years: you save approximately $85,000 in total interest and pay off the loan about 6 years early. The key is specifying the extra as 'principal payment' — your servicer must apply it to principal, not to future payments.

On a $300,000 loan at 6.5%: 30-year: $1,896/month, total interest $382,560, paid over 360 months. 15-year (at 6.0% — rates are typically lower): $2,532/month, total interest $155,760, paid over 180 months. The 15-year saves $226,800 in interest and pays off 15 years sooner — at the cost of $636/month more. The mathematical argument for the 15-year is compelling if you can afford the payment.

Both spread a cost over time, but they apply to different assets. Amortization spreads out debt repayment (paying off a loan) or the cost of an intangible asset (patent, copyright). Depreciation spreads the cost of a tangible fixed asset (equipment, building, vehicle) over its useful life. In loan context, amortization refers specifically to the structured debt repayment schedule. In accounting, amortization of intangibles follows rules similar to depreciation.

Negative amortization occurs when a loan payment is less than the interest accruing for that period — the unpaid interest is added to the principal balance, which grows over time despite payments being made. This occurred with certain adjustable-rate mortgages and option-ARM products popular pre-2008 housing crisis. Standard fixed-rate mortgages and conventional adjustable-rate mortgages are fully amortizing — the balance always decreases with each payment.