Loan EMI Calculator
Calculate your monthly installments for home, car, or personal loans
Loan EMI Calculator
What is EMI?
EMI (Equated Monthly Installment) is the fixed amount you pay to the lender every month until your loan is fully repaid. It includes both the principal amount and the interest charged on the loan.
EMI Formula
EMI = [P × R × (1+R)^N] / [(1+R)^N-1]Where: P = Principal, R = Monthly interest rate, N = Tenure in months
Why Use Our Calculator?
- ✔️ Instant and accurate EMI calculations
- ✔️ Visual breakdown of principal vs interest
- ✔️ Plan your budget before taking a loan
- ✔️ Compare different loan scenarios
- ✔️ Free to use, no registration required
Types of Loans
- 🏠 Home Loans / Housing Loans
- 🚗 Car Loans / Auto Loans
- 💰 Personal Loans
- 📚 Education Loans
- 🏢 Business Loans
Frequently Asked Questions
How is EMI calculated in India?
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, and N is the tenure in months. Banks like SBI, HDFC, and ICICI use this standard formula.
What is a good EMI to salary ratio?
Financial experts recommend that your total EMI payments should not exceed 40-50% of your monthly income. For example, if you earn ₹50,000 per month, your total EMIs should ideally be less than ₹20,000-25,000.
Can I prepay my loan to reduce EMI?
Yes, most Indian banks allow loan prepayment. You can either reduce your EMI amount or reduce the loan tenure. Some banks may charge a prepayment penalty of 2-4% on the outstanding amount.
Which is better - lower EMI or shorter tenure?
Shorter tenure means you pay less total interest but higher monthly EMIs. If you can afford higher EMIs, choose shorter tenure to save on interest. If budget is tight, opt for lower EMIs with longer tenure.