Skip to main content

Calculator Documentation

Debt Consolidation Calculator

Compare existing debts to a single consolidation loan: monthly savings, total interest, payoff time, and break-even

Schema version 2.0.0 · Category: mortgage

Inputs

Your Debts

The debts you are thinking about consolidating

FieldTypeDefaultNotes
Number of Debtsselect3How many existing debts to include (up to 5)

Debt 1

FieldTypeDefaultNotes
Balancecurrency$8,000Current balance on this debt
Interest Ratepercentage22.00%Annual interest rate on this debt
Monthly Paymentcurrency$250What you pay toward this debt each month

Debt 2

FieldTypeDefaultNotes
Balancecurrency$15,000Current balance on this debt
Interest Ratepercentage7.00%Annual interest rate on this debt
Monthly Paymentcurrency$400What you pay toward this debt each month

Debt 3

FieldTypeDefaultNotes
Balancecurrency$6,000Current balance on this debt
Interest Ratepercentage12.00%Annual interest rate on this debt
Monthly Paymentcurrency$200What you pay toward this debt each month

Debt 4

FieldTypeDefaultNotes
Balancecurrency$5,000Current balance on this debt
Interest Ratepercentage15.00%Annual interest rate on this debt
Monthly Paymentcurrency$150What you pay toward this debt each month

Debt 5

FieldTypeDefaultNotes
Balancecurrency$5,000Current balance on this debt
Interest Ratepercentage15.00%Annual interest rate on this debt
Monthly Paymentcurrency$150What you pay toward this debt each month

New Consolidation Loan

The single loan that would replace the debts above

FieldTypeDefaultNotes
Loan Amountcurrency$29,000Amount borrowed to pay off the debts above
Interest Ratepercentage9.00%Annual interest rate on the new loan
Loan Termselect5Length of the new consolidation loan
Closing Costscurrency$1,500Upfront costs to open the new loan

Adjustable Parameters

ParameterDefaultRangePurpose
Break-Even Threshold (Good)246 - 60Months below which consolidating is recommended
Break-Even Threshold (Consider)6024 - 120Months below which consolidating should be considered

Calculations

Every figure this calculator produces, in evaluation order. Formulas reference input ids, parameters, and earlier calculations.

mr1Debt 1 monthly rate
rate1 / 12
mr2Debt 2 monthly rate
rate2 / 12
mr3Debt 3 monthly rate
rate3 / 12
mr4Debt 4 monthly rate
rate4 / 12
mr5Debt 5 monthly rate
rate5 / 12
months1Months to pay off debt 1
if(mr1 == 0, if(payment1 == 0, 0, balance1 / payment1), if(payment1 <= balance1 * mr1, 9999, -ln(1 - (balance1 * mr1) / payment1) / ln(1 + mr1)))
months2Months to pay off debt 2
if(mr2 == 0, if(payment2 == 0, 0, balance2 / payment2), if(payment2 <= balance2 * mr2, 9999, -ln(1 - (balance2 * mr2) / payment2) / ln(1 + mr2)))
months3Months to pay off debt 3
if(mr3 == 0, if(payment3 == 0, 0, balance3 / payment3), if(payment3 <= balance3 * mr3, 9999, -ln(1 - (balance3 * mr3) / payment3) / ln(1 + mr3)))
months4Months to pay off debt 4
if(mr4 == 0, if(payment4 == 0, 0, balance4 / payment4), if(payment4 <= balance4 * mr4, 9999, -ln(1 - (balance4 * mr4) / payment4) / ln(1 + mr4)))
months5Months to pay off debt 5
if(mr5 == 0, if(payment5 == 0, 0, balance5 / payment5), if(payment5 <= balance5 * mr5, 9999, -ln(1 - (balance5 * mr5) / payment5) / ln(1 + mr5)))
active1Debt 1 included
if(numDebts >= 1, 1, 0)
active2Debt 2 included
if(numDebts >= 2, 1, 0)
active3Debt 3 included
if(numDebts >= 3, 1, 0)
active4Debt 4 included
if(numDebts >= 4, 1, 0)
active5Debt 5 included
if(numDebts >= 5, 1, 0)
gMonths1Debt 1 payoff, gated
active1 * months1
gMonths2Debt 2 payoff, gated
active2 * months2
gMonths3Debt 3 payoff, gated
active3 * months3
gMonths4Debt 4 payoff, gated
active4 * months4
gMonths5Debt 5 payoff, gated
active5 * months5
gInterest1Debt 1 interest, gated
active1 * max(payment1 * months1 - balance1, 0)
gInterest2Debt 2 interest, gated
active2 * max(payment2 * months2 - balance2, 0)
gInterest3Debt 3 interest, gated
active3 * max(payment3 * months3 - balance3, 0)
gInterest4Debt 4 interest, gated
active4 * max(payment4 * months4 - balance4, 0)
gInterest5Debt 5 interest, gated
active5 * max(payment5 * months5 - balance5, 0)
currentMonthlyTotal of current monthly payments
active1 * payment1 + active2 * payment2 + active3 * payment3 + active4 * payment4 + active5 * payment5
currentPayoffMonths until the last current debt clears
max(gMonths1, gMonths2, gMonths3, gMonths4, gMonths5)
currentInterestTotal interest across the current debts
gInterest1 + gInterest2 + gInterest3 + gInterest4 + gInterest5
newMonthlyRateNew loan monthly rate
loanRate / 12
newTermMonthsNew loan term in months
loanTerm * 12
newPaymentNew monthly principal and interest payment
if(newMonthlyRate == 0, loanAmount / newTermMonths, (loanAmount * newMonthlyRate * pow(1 + newMonthlyRate, newTermMonths)) / (pow(1 + newMonthlyRate, newTermMonths) - 1))
newInterestTotal interest over the life of the new loan
(newPayment * newTermMonths) - loanAmount
monthlyDiffMonthly payment change (positive = savings)
currentMonthly - newPayment
interestSavedInterest saved by consolidating (positive = savings)
currentInterest - newInterest
breakEvenMonthsMonths for monthly savings to recoup closing costs
if(monthlyDiff > 0, closingCosts / monthlyDiff, 9999)
payoffDiffChange in time to be debt free (positive = current path is longer)
currentPayoff - newTermMonths
isRecommendedWhether consolidating is recommended
if(monthlyDiff > 0 && breakEvenMonths <= breakEvenThresholdGood, 1, 0)

Put this calculator on your site

Every plan includes the Debt Consolidation Calculator with your branding, share links, and PDF scenario reports.