EMI (Equated Monthly Installment) is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. Equated monthly installments are used to pay off both interest and principal each month like other loans.

How is loan EMI calculated?

EMI is calculated using the formula: P x R x (1+R)^N / [(1+R)^N-1], where P is Principal Loan Amount, R is Monthly Interest Rate, and N is Loan Tenure in months.

Does this work for home loans?

Yes, this calculator works for home loans, personal loans, car loans, and education loans. Just input your specific loan amount and interest rate.

💰 Loan EMI Calculator

Calculate your monthly EMI, total interest, and amortization for any loan. Plan your finances with precision.

📝 Loan Details

Loan Amount ₹10,00,000

Interest Rate (% p.a.) 10%

Loan Tenure (Years) 5 years

📊 Your EMI

₹21,247

Monthly EMI

Principal Amount ₹10,00,000

Total Interest ₹2,74,823

Total Amount Payable ₹12,74,823

Tool Features

Instant EMI: Get real-time updates as you adjust the sliders.
Total Breakdown: See exactly how much interest you'll pay over the loan term.
Compounding: Accurately calculates monthly reducing balance.
Visual: Clean, easy-to-read layout for better financial planning.

Understanding EMI

EMI (Equated Monthly Installment) is a fixed monthly payment made to repay a loan. Each EMI consists of two parts: principal repayment and interest payment.

EMI = [P × r × (1+r)^n] / [(1+r)^n - 1]

Where: P = Principal, r = Monthly Interest Rate, n = Months

Related Calculators

❓ Frequently Asked Questions

What is EMI? +

EMI stands for Equated Monthly Installment. It's a fixed amount you pay every month to repay your loan over a specified period. Each EMI includes both principal and interest components.

How is EMI calculated? +

EMI is calculated using the reducing balance method formula: E = P x r x (1+r)^n / ((1+r)^n - 1). This ensures your loan is paid off completely by the end of the tenure.

Can I reduce my EMI? +

Yes! You can reduce EMI by choosing a longer tenure, negotiating a lower interest rate, or making a larger down payment. However, keep in mind that a longer tenure increases the total interest you pay.

What happens if I prepay my loan? +

Prepayment reduces your outstanding principal, which in turn decreases the total interest payable. You can choose to either reduce your EMI amount or shorten the loan tenure after a prepayment.