Helps you work out:
- how much you need to repay to avoid being charged a high interest rate on the amount owing
- the total cost of the interest-free deal, including fees (if you pay it off within the interest-free period)
Only get an interest-free deal if you:
- can pay more than the minimum each month
- are familiar with how to budget for repayments
- can afford the higher repayment shown using this calculator
An interest-free deal might not be a good idea if you:
- can only make the minimum repayments
- have other ways to pay (for example, savings or lay-by)
- have other debts you are struggling to pay off
It is an estimate only. Results will depend on the accuracy of your inputs.
- Fees: this calculator does not include additional fees such as late payment fees.
- Amount borrowed: the total amount of the loan deal, which may include extras such as extended warranty or delivery charges.
- Minimum repayment: calculated as a percentage of the closing balance, which reduces each month as your account balance reduces.
- Additional purchases on your card: the first time you apply for an interest-free deal you will be issued with a credit card. This calculator does not take into account any credit card purchases. It does not support multiple interest-free deals.
- Repayments: we have assumed repayments will be made monthly. Payments made more frequently may attract additional payment processing fees, if applicable.
Q: Why is the calculated repayment more than the amount the lender has quoted?
A: Lenders will tell you what your minimum repayment is, calculated as a percentage of the closing balance. If you only make the minimum repayments, you will not repay the total amount you borrow within the interest-free period. The lender will then charge a very high interest rate on the balance you owe at the end of the interest-free period. This calculator tells you how much you need to repay each month to pay off your balance within the interest-free period.
Q: Can I make extra repayments if I want to?
A: Check your credit contract, but you can usually repay higher amounts or make extra repayments without penalty.