**Introduction**

Calculating loan repayments is a crucial aspect of financial planning. To simplify this process, we present the 1 Year Loan Calculator. This article not only provides you with a working calculator code in HTML and JS but also guides you on how to use it effectively.

**How to Use**

- Enter the loan amount in the designated input field.
- Input the annual interest rate as a percentage.
- Press the “Calculate” button to obtain the monthly repayment amount.

**Formula**

The formula used for calculating the monthly repayment amount is the accurate and widely accepted formula:

$M=P×(+r)n−r(+r)n $

Where:

- $M$ is the monthly repayment amount.
- $P$ is the principal loan amount.
- is the monthly interest rate (annual interest rate divided by 12 and converted to a decimal).
- $n$ is the total number of payments (loan term in months).

**Example**

Suppose you have a loan of $10,000 with an annual interest rate of 5%. The monthly repayment can be calculated using the formula mentioned above.

$P=10000,r=×5 ,n=12$

$M=10000×(+×5 )12−×5 (+×5 )12 $

After solving, the monthly repayment amount ($M$) will be obtained.

**FAQs**

**Q1: How accurate is the 1 Year Loan Calculator?**

The calculator uses a precise formula widely accepted for loan calculations, ensuring accurate results.

**Q2: Can I use this calculator for loans with different terms?**

This calculator is specifically designed for 1-year loans. For different terms, a modified formula is needed.

**Q3: Why is the monthly interest rate calculated by dividing the annual rate by 12?**

This conversion is necessary to get the monthly rate since there are 12 months in a year.

**Conclusion**

In conclusion, the 1 Year Loan Calculator is a valuable tool for individuals seeking to plan their finances effectively. By providing a simple yet accurate calculation, this calculator contributes to informed decision-making regarding loan repayments.