Calculate your monthly EMI with full amortization schedule — supports prepayments, step-up EMI, interest rate changes, Financial Year view & Excel / PDF export.
Add future rate revision events — useful for floating rate loans where the bank revises the interest rate mid-tenure.
Add lump-sum prepayments on a specific date — reduces outstanding principal and shortens tenure.
Understanding the type of loan and documents required helps you prepare faster and negotiate better terms with lenders.
Taken to purchase, construct or renovate residential property. Offered by banks and HFCs with tenure up to 30 years. Interest qualifies for deduction under Section 24(b) and principal under Section 80C.
Taken by businesses and proprietorships for working capital, equipment or expansion. Includes term loans, OD/CC facilities and government-backed schemes like CGTMSE and PMEGP.
Funds higher education in India or abroad. Repayment begins after moratorium period (course duration + 6–12 months). Interest paid is deductible under Section 80E of the Income Tax Act.
Designed for farmers for crop production, equipment or land development. Includes Kisan Credit Card (KCC), short-term crop loans and long-term agriculture term loans, often at subsidised rates.
Unsecured loan for any personal need — medical, travel, marriage or debt consolidation. Higher interest rates (10–24% p.a.) with shorter tenure (1–5 years). No collateral required but a strong CIBIL score is essential.
Secured loan to purchase two-wheelers, cars, trucks or commercial vehicles. LTV typically 80–90% of on-road price. The vehicle itself serves as collateral. Tenure usually 3–7 years.
Everything you need to know about EMI, amortization and loan repayment.
EMI (Equated Monthly Instalment) is a fixed amount paid by a borrower to a lender every month until the loan is fully repaid. It consists of two components — the principal repayment and the interest for that month.
The standard formula used by Indian banks is:
EMI = P × r × (1+r)^n / ((1+r)^n − 1)
Where P = Principal, r = Monthly interest rate (annual rate ÷ 12 ÷ 100), n = Number of monthly instalments.
Under the flat rate method, interest is calculated on the original loan amount throughout the tenure, resulting in a higher effective rate.
Under the reducing balance method (used by this calculator and all Indian banks), interest is calculated only on the outstanding principal each month. This is always cheaper than the flat rate method.
Prepayment reduces your outstanding principal directly. Since interest is calculated on the remaining balance, a lower principal means lower interest in subsequent months. You can either reduce your EMI (keeping tenure same) or keep EMI same and reduce tenure — the second option saves more interest overall.
This calculator assumes prepayments reduce tenure while keeping EMI constant — which is the more beneficial approach.
Step-up EMI allows you to start with a lower EMI and increase it each year (e.g., by 5% annually). This is beneficial for:
Step-up EMI reduces total interest paid because the outstanding balance reduces faster in later years.
The Yearly View shows cumulative figures as on 31st March of each financial year. This is particularly useful for:
The closing balance shown in this view can be directly used as the loan liability figure in your balance sheet.
Yes. Use the Interest Rate Changes option under Advanced Options to add the new rate and its effective date. The calculator will recompute the EMI from that date onwards on the revised outstanding balance — accurately modelling how Indian banks handle floating rate revisions.
CIBIL score is a three-digit number (300–900) that represents your creditworthiness based on your repayment history, credit utilisation and loan mix. A score of 750 and above is generally considered good and helps you secure loans at lower interest rates with faster approvals. Defaults, late payments and high credit card utilisation negatively impact your score.
Both approaches reduce your total interest outflow. However:
For most salaried borrowers, a combination — moderate step-up EMI + annual bonus as prepayment — delivers the best outcome. This calculator lets you model both.
Our team of Chartered Accountants can help you structure your loan, assess tax benefits, plan prepayments and ensure your borrowing aligns with your financial goals.