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Secured Loan Calculator

Enter a loan amount, rate and term to see the monthly payment and the total repayable over the full term, side by side.

Loan details

£
£1,000£150,000
%
0.1%30%
years
1 year30 years
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Monthly payment £0
Total repayable over the term £0

Total interest: £0

Illustrative rates: The rates in this example are fictional and used only to show how the numbers work. They are not an offer. Your actual rate may be lower or higher and will depend on your circumstances, your property and the lender. Consolidating debt over a longer term can mean you pay more interest overall, even if your monthly payment falls.

Payment breakdown

Amount borrowed: 50% Interest: 50%

How a secured loan payment is calculated

A secured loan, also called a homeowner loan or second charge mortgage, is usually repaid the same way a mortgage is: a fixed monthly payment that covers both interest and a portion of the amount borrowed, spread evenly across the term. This calculator uses that standard formula, so entering an amount, a rate and a term gives you an accurate illustrative monthly figure and total repayable amount for a typical repayment structure.

The default figures, 7.9% over 15 years, are the illustrative rate and term set out in our worked examples across the site. They're not a live quote or a personalised offer: your actual rate, and the maximum term available to you, will depend on your circumstances, your property and the lender you end up with.

What changes your monthly payment the most

Three things drive the monthly figure: how much you borrow, the interest rate, and the term. Of the three, the term often has the biggest effect on the total repayable, because a longer term means paying interest for longer, even if the monthly payment looks more manageable. Try shortening the term slider above and you'll usually see the monthly payment rise while the total repayable falls, and vice versa when you lengthen it.

How much you can actually borrow depends on the equity in your property and what a lender considers affordable based on your income and existing outgoings. This calculator doesn't check either of those for you, it simply shows what a given amount, rate and term would cost.

Secured loan vs other borrowing

Because a secured loan is secured against your property, rates are usually lower than an unsecured personal loan or credit card, but higher than a typical first-charge mortgage rate, reflecting the lender's position behind your existing mortgage. If you'd rather compare a secured loan against your current unsecured debt payments directly, our debt consolidation calculator does that side by side.

Risk warning: THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT. IF YOU ARE THINKING OF CONSOLIDATING EXISTING BORROWING YOU SHOULD BE AWARE THAT YOU MAY BE EXTENDING THE TERM OF THE DEBT AND INCREASING THE TOTAL AMOUNT YOU REPAY. IF YOU PROCEED WITH A MORTGAGE APPLICATION, THIS CAN AFFECT YOUR CREDIT SCORE.

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Frequently asked questions

No, it's a fixed illustrative figure used consistently across our worked examples, not an offer. Your actual rate depends on your circumstances, your property and the lender, and can be higher or lower.
It varies by lender, but terms of up to 25 or 30 years are common. This calculator allows up to 30 years so you can explore longer terms if you want to see the effect on your monthly payment.
No. Everything runs in your browser. Nothing you enter here is stored, sent to us, or saved in a cookie.
That depends on your equity and affordability, which this calculator doesn't assess. Check your options for a picture based on your actual situation, free and with no obligation.