diff --git a/erpnext/loan_management/doctype/loan_repayment/loan_repayment.py b/erpnext/loan_management/doctype/loan_repayment/loan_repayment.py
index c8344d46671..940f82ee34f 100644
--- a/erpnext/loan_management/doctype/loan_repayment/loan_repayment.py
+++ b/erpnext/loan_management/doctype/loan_repayment/loan_repayment.py
@@ -389,6 +389,7 @@ def calculate_amounts(against_loan, posting_date, payment_type=''):
 
 	if payment_type == 'Loan Closure':
 		amounts['payable_amount'] += amounts['unaccrued_interest']
+		amounts['interest_amount'] += amounts['unaccrued_interest']
 
 	return amounts