See exactly what your business loan repayment looks like across daily, weekly, and monthly cadences. Useful for short-term working capital, MCA-style products, and amortizing term loans.
Frequently Asked Questions
How do I calculate monthly loan payments?
Use the amortization formula: M = P × r(1+r)^n ÷ ((1+r)^n − 1), where P is principal, r is monthly interest rate, n is number of months. The calculator above does it automatically.
What's the difference between daily and monthly remittances?
Daily remittances are common for short-term working capital and MCAs (smaller, more frequent). Monthly is standard for amortizing term loans and SBA. Daily can match revenue cycles; monthly is easier to budget.
Does payment frequency change total cost?
Slightly — more frequent payments reduce average outstanding balance faster, lowering total interest. But payment frequency is usually set by product type, not chosen freely.
How is interest applied on a daily-remit loan?
Daily-remit term loans typically pre-compute total interest at origination (similar to an MCA factor structure), so paying off early may not save interest unless the contract offers a prepayment discount.
Can I switch repayment frequency mid-loan?
Rarely. Most lenders set the frequency at origination. Some lines of credit allow flexibility on minimum payments.
What if I miss a payment?
Daily/weekly remit lenders typically charge a NSF fee ($25–$50) and may accelerate the loan after 3–5 missed remittances. Monthly lenders charge late fees after a 10–15 day grace period.
Do payments include principal and interest?
On amortizing loans, yes — each payment includes both, with the interest share shrinking over time. On factor-rate products, payments are flat against a pre-computed total.
How does extra principal affect the schedule?
On amortizing loans, extra principal reduces the balance immediately and lowers future interest, shortening the term. On factor-rate products, extra principal usually doesn't reduce total cost.
Are repayment terms negotiable?
Sometimes. Stronger borrowers can negotiate term length, remittance frequency, prepayment penalty, and origination fees. Always ask.
How do I model an interest-only period?
Add the interest-only months as a separate calculation (balance × rate × months), then amortize the remaining balance over the principal-and-interest period.