Debt Consolidation Calculator
Find out whether rolling your debts into one fixed-rate loan lowers your monthly payment and total interest.
Reviewed by the CalcCafe editorial team · Last updated 1 July 2026 · How we test our tools
Example
Say you have three debts: $8,000 at 22.99% (paying $300/mo), $5,000 at 18.5% ($180/mo), and $3,000 at 15.99% ($120/mo). Combined balance is $16,000 and you currently pay $600/month, racking up about $5,557 in total interest before they clear.
Roll them into one $16,000 loan at 11.5% over 60 months. The amortized payment is $351.88/month (M = 16000 · 0.009583 / (1 − 1.009583⁻⁶⁰)), with total interest of about $5,113. You pay roughly $248 less each month and save about $444 in interest.
How it works
Enter each debt's balance, APR, and current monthly payment, then set the consolidation loan's rate and term. The tool simulates each debt to payoff and compares it against one amortized loan, showing the monthly and total-interest difference.
Good to know
The Debt Consolidation Calculator lets you model up to three existing debts — each with its own balance, APR, and monthly payment — and compare them against rolling everything into a single fixed-rate loan. It's built for anyone juggling multiple credit cards or installment balances who wants to know, in concrete dollars, whether one new loan would actually lower their monthly outlay or shrink the total interest they pay before everything clears.
Reach for it before you apply for a consolidation loan or balance transfer, while you still have room to compare offers. Because it runs entirely in your browser and uploads nothing, you can safely plug in real balances and rates to pressure-test a lender's pitch. The most useful moment to use it is when a lender quotes you a rate and term — drop those into the consolidation section and see whether the headline savings hold up.
Read the result on two axes at once. The big number tells you total interest saved (or, if it turns negative, the extra interest you'd pay), while the "Monthly difference" stat shows the cash-flow change each month. The two bars let you eyeball total interest kept-separate versus consolidated side by side. Watch for the common trap the tool exposes: a longer term can cut your monthly payment yet barely move — or even worsen — your total interest, because you're repaying principal more slowly.
One caveat worth internalizing: the math assumes the new loan funds your exact combined balance with no origination or balance-transfer fee, and that you keep paying each current debt at today's amount until it's gone. If a lender charges a 1%–8% fee, add it to the balance you enter so the comparison stays honest. Also note that if any current payment is too small to ever clear its debt, the tool flags it rather than producing a misleading savings figure.
Frequently asked questions
Why can my monthly payment drop while I barely save on interest?
Stretching the balance over a longer term (e.g. 60 months) lowers each payment because you repay principal more slowly. That slower repayment means interest accrues longer, so a lower rate can still produce only modest total-interest savings if the term is long. Shorten the term to keep more of the savings.
Does this account for loan origination or balance-transfer fees?
No. The comparison assumes the consolidation loan funds the exact combined balance with no fees. Many lenders charge a 1%-8% origination fee or balance-transfer fee, which is added to your balance. Subtract any expected savings by that fee, or add the fee to the balance you enter, to get a truer picture.
Is my data uploaded anywhere?
No — this calculator runs entirely in your browser; nothing is uploaded.
Is this financial advice?
No. These are educational estimates — consult a qualified financial professional before making decisions.
People also ask
What credit score do I need to qualify for a debt consolidation loan?
Requirements vary by lender, but the lowest advertised rates typically go to borrowers with good-to-excellent credit (often roughly 670 and up). People with lower scores may still qualify but usually at higher APRs, which can erode the savings this calculator shows.
Does consolidating debt hurt my credit score?
A new loan application triggers a hard inquiry that can dip your score temporarily, and opening a new account lowers the average age of your credit. Over time, paying down balances and lowering your credit utilization can help your score recover or improve.
Is a debt consolidation loan the same as a balance transfer?
No. A consolidation loan is a fixed-rate installment loan that pays off your debts and gives you one monthly payment, while a balance transfer moves card balances onto a single credit card, often with a low or 0% promotional APR for a limited period. Both carry fees you should factor in.
What APR makes debt consolidation actually worth it?
Generally the new loan's APR needs to be meaningfully lower than the weighted-average rate of your current debts, and the term short enough that you don't trade interest savings for years of extra payments. This calculator lets you test specific rate-and-term combinations to see the net effect.
Can I consolidate more than three debts?
This tool models up to three debts at once. To approximate more, you can group similar balances together using a blended balance and an estimated average APR and payment, though the result becomes less precise.
Will consolidating my debt lower my monthly payment?
It often can, especially if the new loan has a lower rate or a longer term than your current debts. However, a lower monthly payment driven mainly by a longer term can increase the total interest you pay overall.
Should I close my credit cards after consolidating them?
Whether to close paid-off cards is a personal decision with trade-offs; closing them can reduce temptation to run up new balances but may raise your credit utilization and shorten your credit history. This calculator does not factor that in, and you should consult a qualified professional for guidance.
What is the monthly payment on a $50,000 debt consolidation loan?
At 11.5% over 60 months, a $50,000 consolidation loan costs about $1,099.63 a month, for roughly $15,978 in total interest, using the formula M = P × r ÷ (1 − (1 + r)^-n) with r = 0.009583 and n = 60. A 36-month term raises the payment to about $1,649 but cuts interest to about $9,360. Your rate depends on your credit score and lender, and any origination fee is extra.
How to pay $30,000 debt in one year?
Clearing $30,000 in 12 months takes about $2,500 a month before interest; at 18% APR the payment is about $2,750 a month with about $3,005 in interest, while consolidating to 11.5% drops it to about $2,658 and about $1,900 in interest. Realistically that means aggressively cutting spending, boosting income, and putting any windfalls toward the balance. Focus extra money on the highest-rate debt first, or use a lower-rate consolidation loan to make each payment count for more. This is general information, not financial advice.
Why does Dave Ramsey say not to consolidate debt?
Dave Ramsey argues that consolidation treats the symptom rather than the cause: it lowers the monthly payment, which can feel like progress while the debt lingers longer and the habits that created it go unchanged, and people often run the paid-off cards back up. He favors the debt snowball, paying the smallest balance first for motivation while budgeting hard. A consolidation loan can still save real money when the new rate is meaningfully lower and you stop adding new debt, which this calculator lets you test. This is general information, not financial advice.
How to get rid of $40,000 credit card debt?
The math is the same as any payoff plan: pay as much above the minimum as possible and cut the interest rate. At 22% APR, $40,000 costs about $733 a month in interest alone, so a consolidation loan or balance transfer at a much lower rate can redirect hundreds of dollars a month to principal; enter your cards here to see the difference. Pair that with a strict budget, extra income, and no new charges, and consider a nonprofit credit counseling agency if the payments are unmanageable. This is general information, not financial advice.
How do I pay off debt if I live paycheck to paycheck?
Start by making every minimum payment to avoid fees and rate hikes, then find even a small extra amount, such as $50 a month, for the highest-rate or smallest balance. Lowering your interest rate through a consolidation loan, balance transfer or a hardship plan from the card issuer frees up cash without earning more, and nonprofit credit counseling agencies can negotiate a debt management plan. Any increase in income, from overtime to selling unused items, should go straight to debt. This is general information, not financial advice.
Is $70,000 in credit card debt a lot?
Yes. It is several times the typical US household card balance and, at a 22% APR, costs about 70,000 × 0.22 ÷ 12 = $1,283 a month in interest before touching principal. Paying it off in 5 years at that rate would take roughly $1,933 a month. At that size, a consolidation loan, a debt management plan through a nonprofit counselor, or negotiating with issuers is usually worth exploring; this is general information, not financial advice.
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Sources & references
These tools follow our methodology and provide educational estimates only — verify important figures with a qualified professional.