Calculate your loan EMI (Equated Monthly Instalment) instantly. Enter the loan amount, interest rate and tenure to see your monthly payment, total interest paid and a complete month-by-month amortisation schedule.
EMI stands for Equated Monthly Instalment. It is the fixed monthly payment a borrower makes to a lender to repay a loan over a specified period. Each EMI consists of two components: a portion that repays the principal (the original borrowed amount) and a portion that covers the interest charged by the lender. In the early months of a loan, the interest component is larger; as the loan progresses, the principal component increases and the interest component decreases — this is called amortisation.
EMI is the standard repayment structure for home loans, car loans, personal loans, and education loans in India. Understanding your EMI helps you plan your monthly budget, compare loan offers from different banks, and make informed decisions about loan tenure and prepayment.
EMI is calculated using the formula: EMI = P × r × (1+r)^n / ((1+r)^n - 1) where P is the principal loan amount, r is the monthly interest rate (annual rate divided by 12), and n is the total number of monthly instalments. This formula ensures that each monthly payment is equal, even though the split between principal and interest changes every month.
Enter your loan amount (the amount you plan to borrow), the annual interest rate offered by your bank, and the loan tenure in years or months. The calculator instantly shows your monthly EMI, total interest payable over the full loan term, and the total amount you will pay including principal and interest. The amortisation schedule shows the exact breakdown of each monthly payment throughout the loan tenure.
There are three ways to reduce your EMI: borrow less (reduce the principal), negotiate a lower interest rate, or extend the tenure. Extending the tenure reduces the monthly EMI but significantly increases the total interest paid — use the calculator to see the impact of different tenure options. Making partial prepayments reduces the outstanding principal, which reduces both future EMIs and total interest. Many loans in India allow prepayment after a lock-in period, sometimes with a small fee.
Home loans in India typically carry interest rates between 8–10% per annum and tenures up to 30 years, resulting in relatively affordable EMIs for large loan amounts. Personal loans carry higher rates (10–24%) but shorter tenures (1–5 years). Car loans fall in between. Use this calculator to compare the EMI at different rate and tenure combinations when evaluating loan offers from multiple banks.