**Introduction**

Welcome to the 3-Year Loan Calculator – your go-to tool for accurately calculating loan payments over a 3-year period. This user-friendly calculator is designed to simplify the loan calculation process, providing you with precise results for better financial planning.

**How to Use**

Using the 3-Year Loan Calculator is straightforward. Simply input the loan amount, interest rate, and any additional fees. Click the “Calculate” button, and the calculator will instantly generate the monthly payment for a 3-year loan term.

**Formula**

The formula used in this calculator is the standard formula for calculating the monthly payment on an installment loan, also known as the amortization formula:

$M=P×(+r)n−r(+r)n $

Where:

- $M$ is the monthly payment,
- $P$ is the loan amount,
- $r$ is the monthly interest rate (annual rate divided by 12 and expressed as a decimal), and
- $n$ is the total number of payments (loan term in months).

**Example**

Let’s consider a scenario where you have a $10,000 loan with an annual interest rate of 5%. Using the formula, the monthly payment ($M$) for a 3-year term ($n=36$) would be calculated as follows:

$M=10000×(+)36−(+)36 $

This would yield the accurate monthly payment for your loan.

**FAQs**

**Q: How accurate is this calculator in predicting loan payments?**

**A:** The calculator uses the precise amortization formula, providing highly accurate results based on the information entered.

**Q: Can this calculator handle different types of loans?**

**A:** Yes, the calculator is versatile and can be used for various installment loans with a fixed interest rate.

**Q: Is the calculated monthly payment inclusive of interest and fees?**

**A:** Yes, the monthly payment includes both principal and interest. Any additional fees are factored into the overall loan amount.

**Conclusion**

The 3-Year Loan Calculator is an invaluable tool for anyone seeking clarity on their loan payments. With its accurate calculations and user-friendly interface, it ensures you have the financial information you need for informed decision-making.