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Interest on Loan = P r NHow to Calculate Loan Interest Using this Formula Interest Formula | Calculator (Examples with Excel Template)Simple Interest ( ) - Definition, Formula, and Example Loan Payment Formula (with Calculator)For example, our personal loan repayment calculator shows that on a loan of $20,000 at you would pay: $634 each month, adding up to $2,812 in interest over 3 years, or. $413 each month, adding up to $4,765 in interest over 5 ;· Calculation: You can calculate your total interest by using this formula: Principal loan amount x Interest rate x Time (aka Number of years in term) = Interest06/07/2019 · The term “interest on loan” refers to the amount that a borrower is obligated to pay or a depositor is supposed to earn on a principal sum at a pre-determined rate, which is known as the rate of interest and the formula for interest can be derived by multiplying the rate of interest, the outstanding principal sum and the tenure

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