Use this tractor loan calculator to quickly determine your monthly payments and total cost of the loan for your farming equipment purchase.

## Tractor Loan Calculator

This tractor loan calculator helps you determine the monthly payments on a loan. Simply enter the loan amount, interest rate, and the term of the loan in years.

### How To Use

To calculate your monthly tractor loan payment:

- Enter the
**Loan Amount**you’re seeking to find out the future payments. - Input the
**Annual Interest Rate**(percentage) your lender is charging. - Type the
**Loan Term**in years for the period over which you intend to pay back the loan. - Click the
**“Calculate”**button to get your monthly payment.

### How It Calculates

The calculator uses the standard formula to determine a fixed monthly payment:

*PMT = [P * r * (1+r)^n] / [(1+r)^n – 1]*

**PMT**is the monthly payment**P**is the principal amount (Loan Amount)**r**is the monthly interest rate (Annual Interest Rate / 12 / 100)**n**is the number of payments (Loan Term * 12)

### Limitations

Our tractor loan calculator assumes:

- All months are equally long. However, in reality, some months might have a few more days than others resulting in slightly higher or lower interest charges for those months.
- That the interest rate won’t change throughout the loan term. If you have a variable interest rate, your payment can fluctuate.
- A fixed interest payment, meaning that the interest charges will not become progressively smaller as you pay off the loan.
- No fees or penalties are considered in the calculation of the monthly payment.