Loan EMI Calculator
Monthly EMI, total interest, amortization schedule, and prepayment savings
Quick answer
Loan EMI Calculator
P = loan principal, r = monthly interest rate (annual rate ÷ 12 ÷ 100), n = number of monthly instalments. EMI is the fixed monthly payment covering both principal and interest.
Formula
EMI = [P × r × (1 + r)^n] / [(1 + r)^n − 1]
🏦 Loan Details
💵 Your Results
📉 Balance Over Time
Worked example
Suppose you borrow ₹500,000 at 9% annual interest for 20 years. The monthly rate is 9 ÷ 12 ÷ 100 = 0.0075, over 240 months. Plugging into the EMI formula gives a monthly payment of about ₹4,499. Over the full term you repay roughly ₹1.08M, of which about ₹580,000 is interest. Adding even a small extra monthly payment cuts both the interest and the number of months — try it with the “Extra Monthly Payment” field above.
How EMI is calculated
EMI (Equated Monthly Instalment) is a fixed payment that covers interest on the outstanding balance plus a portion of the principal. Early payments are mostly interest; later payments are mostly principal. This calculator builds the full amortization schedule month by month, so the totals are exact rather than estimated.
🏦Formula
EMI = [P × r × (1 + r)^n] / [(1 + r)^n − 1]💡How it works
P = loan principal, r = monthly interest rate (annual rate ÷ 12 ÷ 100), n = number of monthly instalments. EMI is the fixed monthly payment covering both principal and interest.
ℹ️ What is Loan Calculator?
A loan calculator determines your monthly repayment amount (EMI), total interest paid, and total amount repaid over the life of a loan. It works for personal loans, car loans, student loans, and any fixed-rate installment loan.
📐 Formula
✏️ Worked Example
- 1Monthly rate r = 10 / 12 / 100 = 0.00833
- 2n = 60 months
- 3EMI = 5,00,000 × 0.00833 × (1.00833)⁶⁰ / ((1.00833)⁶⁰ − 1)
- 4EMI = 5,00,000 × 0.00833 × 1.6453 / 0.6453 ≈ ₹10,624
- 5Total payment = ₹10,624 × 60 = ₹6,37,440
- 6Total interest = ₹6,37,440 − ₹5,00,000 = ₹1,37,440
💡 How to Interpret Results
- ▸A lower EMI looks attractive but means more interest paid overall — check the total repayment amount.
- ▸The debt-to-income (DTI) ratio should be ≤ 36%; your EMI should not exceed this of your monthly income.
- ▸Extra payments reduce principal directly and can cut months off your loan.
- ▸Comparing loans: use the Total Interest Paid figure, not just the monthly EMI.
- ▸Secured loans (car, home) typically have lower rates than unsecured personal loans.
❓ Frequently Asked Questions
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Loan Calculator FAQ
Get answers to common questions about loan emi calculator
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