Business Line of Credit Calculator — Calculate Costs & Payments

Business Line of Credit Calculator

Calculate monthly payments, interest costs, and repayment schedules for a business line of credit. Compare different credit terms and draw scenarios.

Step 1: Credit Details

$50,000
8.5%
$25,000

Understanding Lines of Credit

A business line of credit provides flexible access to funds up to a predetermined limit. Interest is typically charged only on the amount drawn. Common rates range from 6% to 25% depending on creditworthiness and loan type.

Step 2: Calculation Options

Line of Credit Formula

Monthly Payment: Payment = (Draw Amount × (Rate/12)) / (1 – (1 + Rate/12)^(-Term))
Total Interest: Interest = (Monthly Payment × Term) – Draw Amount
Total Cost: Total = Draw Amount + Total Interest

Line of Credit Calculation Results

Payment Summary
Amortization
Loan Comparison

Monthly Payment

$1,136
$25,000 draw at 8.5% for 24 months
Total Interest
$2,272
Total Repayment
$27,272
Available Credit
$25,000
Effective APR
8.67%

Amortization Schedule

Month Payment Principal Interest Balance

Loan Type Comparison

Loan Type Monthly Payment Total Interest Total Cost Best For

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