A $10,000 personal loan at 12% interest for 5 years has a monthly payment of $222. Over the life of the loan, you will pay $3,347 in total interest, making the total cost $13,347.

Key Numbers

• •Monthly payment: $222
• •Total interest over 5 years: $3,347
• •Total cost of the loan: $13,347
• •A 3-year term costs $332/month but saves $1,390 in interest