Loan Repayment Comparison Calculator

About comparing loan repayment methods

The same loan can be repaid in different ways that produce very different monthly payments and total interest — this tool compares the three most common repayment methods (equal payment, equal principal, and bullet/interest-only) side by side so you can see the trade-offs before choosing one.

How the three methods differ

Equal payment (원리금균등) keeps your total monthly payment the same throughout the loan, with the principal/interest mix shifting over time. Equal principal (원금균등) repays the same fixed amount of principal each month, so your total payment starts higher and decreases over time as the interest portion shrinks. Bullet repayment (만기일시) only pays interest each month, with the entire principal due in a lump sum at maturity — this produces the lowest monthly payments but the highest total interest paid.

Frequently asked questions

Which repayment method is "best"?

There's no universally best method — equal payment gives predictable, level monthly costs; equal principal reduces total interest paid over the loan's life at the cost of higher payments early on; and bullet repayment minimizes monthly cash outflow but requires a large lump sum at the end. Choose based on your monthly budget flexibility and how you plan to pay off the principal.

Why does equal principal have less total interest than equal payment?

Because equal principal repays principal faster in the early months, the loan balance (and therefore the interest charged on it) shrinks more quickly overall, reducing total interest paid across the loan's life compared to equal payment.

What's the risk with bullet repayment?

Since the full principal is due as a single lump sum at maturity, you need a plan to have that amount available (savings, refinancing, or asset sale) — failing to have it ready when the loan matures can create serious financial or credit problems.