EMI

Loan EMI calculator

Your monthly instalment, the total interest over the loan, and how the balance comes down year by year.

Your loan

Loan amount (₹)

Interest rate, % a year

Floating-rate loans: the EMI or tenure changes when the rate does.

Tenure, in years

Monthly instalment (EMI)

₹0

Loan amount: ₹0
Total interest: ₹0
Total payment: ₹0

How it is worked out

The formula. EMI = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), where P is the loan, r the monthly rate (annual rate ÷ 12 ÷ 100) and n the number of monthly instalments. Interest is charged each month on the balance still owed, so early EMIs are mostly interest and later ones mostly principal.

What it leaves out. Processing fees, insurance bundled with the loan, pre-payments and rate changes on floating-rate loans. Lenders round the EMI and may charge interest for the days before the first EMI, so their figure can differ by a few rupees.

Home loans and tax. In the old regime, interest on a loan for a self-occupied house is deductible up to ₹2,00,000 a year under section 24(b), and the principal counts towards 80C. See what it saves you.