EMI Calculator
โน
Loan Amountโน25,00,000
0100000000
%
Interest Rate8.5%
030
Total Tenure20Y 0M
0360
Monthly EMI
โน0
Principal Amount
โน0
Total Interest
โน0
Total Amount
โน0
Principal & Interest Breakdown
Visual representation of your loan composition
Principal
Amount breakdown
โน25,00,000
100.0% of total
ฮฃ
Total Amount Payable
โน25,00,000
About EMI Calculator
What is EMI?
EMI stands for Equated Monthly Installment. It is a fixed payment amount made by a borrower to a lender at a specified date each calendar month.
What is an EMI Calculator?
An EMI calculator is an online tool that helps you calculate the monthly installment amount payable on your loan instantly.
EMI Calculation Formula
EMI = [P ร R ร (1+R)^N] / [(1+R)^N โ 1]P
Principal Amount
R
Interest Rate
N
Tenure
Understanding Amortization Schedule
An amortization schedule is a table that details each periodic payment on a loan. It shows how much of each payment goes toward interest and how much toward principal, and how the loan balance reduces over time.
Benefits of Knowing Your EMI in Advance
- Budget Management: Helps you manage monthly expenses.
- Loan Comparison: Compare offers from different lenders.
- Avoid Defaults: Plan your finances to avoid missing payments.
- Faster Loan Repayment: Understand impact of prepayments.
Frequently Asked Questions (FAQs)
What is a loan?+
A loan is a sum of money borrowed from a lender (such as a bank or financial institution) that is expected to be paid back with interest over a specified period of time.
What types of loans are available?+
Common types include personal loans, home loans (mortgages), auto loans, education loans, and business loans.
What is the interest rate on a loan?+
The interest rate is the percentage charged by the lender on the principal amount, representing the cost of borrowing.
What is the tenure of a loan?+
Tenure refers to the duration or period over which the loan must be repaid.
What are the eligibility criteria for a loan?+
Eligibility varies by lender but typically includes age, income, credit score, employment status, and repayment capacity.
What documents are required to apply for a loan?+
Generally, you need proof of identity, proof of address, income documents, bank statements, and sometimes collateral documents.
How is EMI different from other payments?+
EMI combines both the interest and a portion of the principal in each monthly payment, making loan repayment predictable and structured.
What factors affect the EMI amount?+
Principal amount, interest rate, and loan tenure are the main factors determining EMI.
Can I prepay my EMI loan?+
Most lenders allow prepayment, but terms and conditions (such as prepayment charges) may apply.
What happens if I miss an EMI payment?+
Missing an EMI payment may result in penalties, impact your credit score, and could lead to legal action if prolonged.
Are there online EMI calculators?+
Yes, most banks and financial websites provide free online EMI calculators.
Does a longer tenure reduce EMI?+
Yes, a longer tenure reduces the monthly EMI amount, but increases the total interest paid over the loan period.