How to work out your EMI
- Enter the Loan amount in rupees. You can type 1000000 or 10,00,000, or tap a lakh amount.
- Enter the yearly Interest rate from your loan offer and the Tenure in years or months.
- Read your monthly EMI, the total interest and the total you’ll repay. The year-by-year table shows how much of each year’s EMIs goes to principal and how much to interest.
How an EMI is split
Every EMI is the same amount, but what it pays for changes. In the first months most of it is interest, because interest is charged on the whole balance. As the balance shrinks, less goes to interest and more to the principal, until the last EMIs are almost all principal. The year-by-year table above shows this, with the share of the loan repaid by the end of each year.
Indian figures are written in lakh and crore. One lakh is 1,00,000 rupees and one crore is 100 lakh, or 1,00,00,000 rupees. The calculator shows both the digits and the lakh or crore figure, so ₹1,04,13,879 also reads as 1.04 crore.
The same ₹50 lakh at 8.5% over different tenures
| Tenure | EMI | Total interest |
|---|---|---|
| 10 years | ₹61,993 | ₹24,39,141 |
| 15 years | ₹49,237 | ₹38,62,656 |
| 20 years | ₹43,391 | ₹54,13,879 |
| 25 years | ₹40,261 | ₹70,78,406 |
| 30 years | ₹38,446 | ₹88,40,443 |
Ways to pay less interest
Choose the shortest tenure whose EMI you can comfortably afford. Part-prepayments help most early in the loan, when the balance is highest: every rupee you prepay stops attracting interest for the rest of the term. RBI rules don’t allow banks to charge a prepayment penalty on floating-rate loans to individual borrowers, but check your own loan terms. For loans in other currencies, the loan calculator does the same maths with an optional extra monthly payment.