Calculate Your EMI
Monthly Breakdown
Monthly EMI₹0
Total Interest Paid₹0
Total Amount Payable₹0
Processing Fee₹0
Principal After Fee₹0
Principal vs Interest Split
PrincipalInterest
Year-wise Amortization Schedule
Calculate EMI to view year-wise schedule
What is EMI?
EMI (Equated Monthly Instalment) is a fixed payment amount you pay every month towards your loan. It consists of two parts: principal repayment and interest. Over time, more of your EMI goes towards principal and less towards interest.
Formula:EMI = P × r × (1+r)^n / ((1+r)^n - 1)
Where: P = Principal, r = monthly interest rate, n = number of months
FAQs
How can I reduce my EMI?
You can reduce EMI by: (1) Increasing the loan tenure (more months = lower EMI but higher interest), (2) Making a larger down payment to reduce the principal, (3) Looking for a loan with a lower interest rate, or (4) Choosing a loan type with better rates. Always balance EMI reduction with total interest paid.
Does prepayment reduce my EMI or tenure?
Prepayment doesn't automatically reduce your EMI. Instead, it reduces the remaining loan tenure or principal balance. You can choose to either: keep the same EMI and reduce tenure, or maintain tenure and reduce EMI amount. Prepayment saves you significant interest, especially in early years. Always check with your lender for prepayment penalties (usually applied in first 1-2 years).
What is the difference between home loan and personal loan interest rates?
Home loans typically have lower interest rates (8-9%) because they are secured against property. Personal loans have higher rates (12-15%) because they are unsecured and carry more risk for lenders. Education loans fall in between at 10-12%. Car loans are 9-11%. Business loans vary widely based on collateral and business type.
What is processing fee and when is it charged?
Processing fee (0.5-2% of loan amount) is charged by lenders for loan application processing and verification. It's deducted from your loan amount at disbursement. For example, if you borrow ₹10L with 1% processing fee, you'll receive ₹9.9L and pay EMI on ₹10L. This effectively increases your loan cost.