Refinance Calculator
Compare your current loan against refinanced terms. See break-even month, monthly savings, and total lifetime cost difference for mortgage or auto loans.
Loan Type
Current Loan
30.0 years
2.0 years into the loan
New (Refinanced) Loan
30.0 years
Typical: 2-5% of loan
Extra cash borrowed on top of balance
Refinancing saves you money
Save $64,321.23
over the life of the new loan · break even in 19 months (1.6 years)
Side-by-Side Comparison
Keep Current Loan
Monthly Payment
$1,995.91
Remaining Balance
$293,684.84
Remaining Interest
$376,940.07
Total Left to Pay
$670,624.92
Months Remaining
336 mo (28.0 yr)
Refinance
New Monthly Payment
$1,667.51
New Loan Amount
$293,684.84
New Total Interest
$306,618.84
Total Cost (incl. closing)
$606,303.68
New Loan Term
360 mo (30.0 yr)
Monthly Payment Change
−$328.40/mo
Advertisement
How to Use the Refinance Calculator
This refinance calculator helps you decide whether refinancing your mortgage or auto loan makes financial sense. It compares your current loan against a new loan with different terms, showing you the exact monthly savings, lifetime cost difference, and how many months it takes to break even on the closing costs.
Setting up your current loan: Start by selecting your loan type — mortgage or auto — which sets appropriate defaults. Enter the original loan amount (not the remaining balance — the calculator figures that out), your current interest rate, the original loan term in months, and how many months you have already paid. The calculator computes your remaining balance automatically based on your amortization schedule.
Setting up the refinance: Enter the new interest rate and loan term you are considering. Add the expected closing costs — for mortgages this is typically 2-5% of the loan amount, for auto loans it is usually much less. If you are considering a cash-out refinance (mortgage only), enter the additional cash amount, which gets added to your new loan balance.
Reading the results: The verdict banner immediately tells you whether refinancing saves or costs money and by how much. The break-even month tells you when your savings surpass the closing costs — if you plan to keep the loan past that point, refinancing makes sense. The side-by-side comparison shows every detail of both scenarios. Expand the year-by-year table to see cumulative savings over time.
Experimenting with scenarios: Try different new rates, terms, and closing costs to find the optimal refinance. A shorter term with a lower rate might increase your monthly payment but save significantly on total interest. Use the share button to save scenarios and compare them in separate tabs.
Frequently Asked Questions
How do I know if refinancing is worth it?
Refinancing is generally worth it when the interest savings over the life of the loan exceed the closing costs and fees. The key metric is the break-even point — the month when your cumulative monthly savings surpass the refinancing costs. If you plan to keep the loan past the break-even point, refinancing saves money. A common rule of thumb is that refinancing makes sense if you can lower your rate by at least 0.5-1%, but this calculator gives you exact numbers so you do not need to guess.
What is the break-even point on a refinance?
The break-even point is the number of months it takes for your monthly payment savings to cover the closing costs of refinancing. For example, if refinancing saves you $200/month and costs $4,000 in closing costs, your break-even point is 20 months. If you sell or move before hitting the break-even point, refinancing costs you more than it saves. This is the single most important number when deciding whether to refinance.
Does refinancing restart my loan?
Yes — refinancing replaces your current loan with a new one. This means you start a new amortization schedule from month one. If you refinance into the same term length (e.g., a new 30-year mortgage when you had 28 years left), you extend your total repayment period. To avoid this, consider refinancing into a shorter term. The calculator lets you choose any new term so you can see the trade-off between a lower monthly payment and a shorter payoff timeline.
What costs are involved in refinancing?
For mortgages, closing costs typically run 2-5% of the loan amount and include application fees, appraisal, title insurance, origination fees, and recording fees. For auto loans, costs are much lower — usually $200-$1,000 in title transfer and lender fees. Some lenders offer 'no-closing-cost' refinances by rolling the fees into the loan balance or charging a slightly higher rate. This calculator lets you enter exact closing costs to see the true impact.
What is a cash-out refinance?
A cash-out refinance lets you borrow more than your remaining balance and pocket the difference as cash. For example, if you owe $200,000 on a home worth $350,000, you might refinance for $250,000 and receive $50,000 in cash. This can be used for home improvements, debt consolidation, or other expenses. The trade-off is a larger loan balance and more total interest. Enter a cash-out amount in the calculator to see exactly how it affects your payments and total cost.
Can I refinance an auto loan?
Yes — auto loan refinancing works similarly to mortgage refinancing. You replace your current car loan with a new one at a lower rate. It is common to refinance 6-12 months after purchasing a vehicle, especially if your credit score has improved or market rates have dropped. This calculator supports both mortgage and auto loan refinancing — select the loan type at the top to switch between appropriate defaults.