EMI Calculator
Calculate your monthly loan instalment, total interest payable, and year-by-year repayment schedule for any home, car, or personal loan.
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Frequently Asked Questions
How is EMI calculated?
EMI uses the formula: EMI = P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is the principal amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of monthly instalments. For a ₹10 lakh loan at 10% annual interest over 10 years, r = 0.00833 and n = 120 — the EMI comes to approximately ₹13,215 per month.
What factors affect my EMI amount?
Three variables directly determine your EMI: the principal (higher loan amounts mean higher EMIs), the interest rate (even a 0.5% difference compounds significantly over a long tenure), and the loan tenure (a longer tenure lowers monthly EMI but increases total interest paid). Your CIBIL credit score also matters — a score above 750 typically qualifies for lower rates from Indian banks and NBFCs.
Can I reduce my EMI after taking a loan?
Yes. Partial prepayments reduce your outstanding principal, which your bank can apply to either lower your EMI or shorten the tenure. You can also refinance through a balance transfer to a lender offering a lower interest rate — particularly worth doing when RBI reduces its repo rate. Extending the tenure is another option, though it increases the total interest. Always check prepayment charges before making lump-sum payments on personal or car loans.