Requested amount versus cash received
The monthly payment is amortized on the requested principal. An origination charge is calculated as a percentage of that request and deducted from proceeds, so the borrower can receive less cash than the balance on which payments and interest are based.
The default loan after its fee
A $15,000 request at 11.5% for 36 months produces a $494.64 payment. A 3% origination fee is $450, leaving $14,550 in net proceeds. The modeled interest plus that fee is $3,257.04, before any other lender charge.
How the charge is treated
The fee is assumed to be withheld once at funding, not financed into the balance. The rate stays fixed and payments are monthly. If a lender adds the fee to principal, uses daily accrual, or offers a promotional rate, its disclosure needs separate treatment.
Compare proceeds as well as payment
Comparing the payment to the cash received is important here. Two loans can advertise the same requested amount, while a larger withheld fee leaves one borrower with less money for the same planned expense.
Terms not in the model
Late charges, optional credit insurance, payment-protection products, taxes, and a penalty for early repayment are outside this estimate. It does not decide whether debt consolidation improves a household's overall cost if existing balances have different terms.
Reading an offer disclosure
Use the result to compare a written offer's proceeds, payment, and total cost together. A lender disclosure, not this estimate, controls the exact finance charge and the date on which funds become available.
Cash need versus contract balance
If the purpose requires $15,000 in usable cash, a withheld 3% fee means requesting $15,000 does not meet that need. Increasing the request changes the payment, interest, and fee at once. State whether the amount in a comparison is requested principal, deposited proceeds, or the amount needed for the expense; those labels prevent a false like-for-like comparison.
Watch for a payment-date mismatch
A lender may collect the first installment earlier than a simple monthly schedule implies. An offer's truth-in-lending disclosure gives the payment dates and should be retained with any result used to plan cash flow.
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It is an educational estimate, not financial, tax, or legal advice.