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HELOC Payment Calculator

A home equity line of credit usually has two phases: an interest-only draw period and a repayment period when you pay it back. Enter your balance, rate, and the repayment term to estimate both monthly payments so there are no surprises when the draw period ends.

✓ Updated July 2026Formula-basedNo signupNothing stored

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HELOC draw period versus repayment period Draw (interest only) Repayment
Interest-only payment (draw period)
$0
Repayment payment (principal + interest)
$0
Total interest over repayment
$0
Comparing borrowing options?Check whether a refinance beats a HELOC on cost.

How HELOC payments work

During the draw period you can usually pay interest only, so the monthly cost is simply the balance times the annual rate divided by twelve. When the draw period ends, the line enters the repayment period and the payment is recalculated to fully pay off the balance over the remaining term using the standard amortization formula: Payment = Balance × r ÷ (1 − (1 + r)−n), where r is the monthly rate and n is the number of repayment months. Because principal is now included, the repayment payment is typically much higher than the interest-only payment.

Frequently asked questions

Why does my payment jump after the draw period?

During the draw period many HELOCs let you pay interest only. When repayment begins you start paying down principal too, often over a shorter remaining term, so the monthly payment can rise sharply. This is sometimes called payment shock.

Are HELOC rates fixed or variable?

Most HELOCs have a variable rate tied to an index such as the prime rate, so your payment can change as rates move. This calculator uses the single rate you enter, so re-run it if your rate changes.

Can I pay principal during the draw period?

Usually yes. Paying down principal early lowers the balance that enters repayment, which reduces both your future payment and your total interest. Check your lender's terms for any minimums or fees.

What happens if I only ever pay interest?

The balance never goes down, so you keep paying interest indefinitely and still owe the full amount. The repayment figure here shows what it takes to actually eliminate the debt over your chosen term.

Is a HELOC the same as a home equity loan?

No. A home equity loan is a lump sum repaid in fixed installments from day one. A HELOC is a revolving line you draw from as needed, typically with a draw phase and then a repayment phase.

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Disclaimer: This tool provides an estimate for general informational purposes only and is not financial advice. HELOC rates are usually variable and terms vary by lender, so your actual payments may differ. Confirm your rate, draw and repayment terms, and any fees with your lender.

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