EMI Calculator
हिंदी में पढ़ेंUse this EMI calculator to work out the monthly instalment for any loan — personal, business, car or home. Move the sliders or type the values to see your EMI, the total interest you will pay and the total amount payable over the tenure.
- Monthly EMI
- ₹16,607
- Principal
- ₹5,00,000
- Total interest
- ₹97,858
- Total amount payable
- ₹5,97,858
How to use this calculator
- Enter the loan amount you want to borrow.
- Enter the annual interest rate offered by the lender.
- Choose the tenure in months.
- Read your monthly EMI, total interest and total payable on the right. Change any value to compare options.
How EMI is calculated
EMI = P × r × (1 + r)^n ÷ ((1 + r)^n − 1)
Banks and NBFCs in India calculate EMIs on a reducing-balance basis: each month's interest is charged only on the principal still outstanding, so the interest part of your EMI falls over time while the principal part rises.
Here P is the loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100) and n is the number of monthly instalments. For example, ₹5,00,000 at 12% a year for 36 months gives r = 0.01 and n = 36, so the EMI is about ₹16,607.
EMI on a ₹5,00,000 loan at 12% p.a. for different tenures
| Tenure | Monthly EMI | Total interest | Total payable |
|---|---|---|---|
| 12 months | ₹44,424 | ₹33,093 | ₹5,33,093 |
| 24 months | ₹23,537 | ₹64,882 | ₹5,64,882 |
| 36 months | ₹16,607 | ₹97,858 | ₹5,97,858 |
| 48 months | ₹13,167 | ₹1,32,012 | ₹6,32,012 |
| 60 months | ₹11,122 | ₹1,67,333 | ₹6,67,333 |
Why tenure matters as much as the interest rate
The table above shows the trade-off clearly. Stretching a ₹5 lakh loan from 2 years to 5 years cuts the EMI by almost half, but the total interest paid more than doubles. If you can afford a higher EMI, a shorter tenure saves you money.
A practical rule many lenders use is that all your EMIs together should stay within about 40-50% of your take-home income. Use the calculator to find a tenure that keeps your EMI inside that limit.
Frequently asked questions
Is the EMI shown here exactly what my lender will charge?
It is very close for a standard reducing-balance loan. Your actual EMI can differ slightly because of the disbursement date, broken-period interest for the first month and rounding. The exact EMI and repayment schedule are in the lender's Key Fact Statement.
Does the EMI include processing fees and GST?
No. Processing fees, documentation charges and GST on them are usually deducted from the loan amount at disbursal or paid upfront, so they do not change the EMI. They do raise the total cost of the loan, which is why lenders must show the annual percentage rate (APR) in the Key Fact Statement.
How can I reduce my EMI?
Choose a longer tenure, borrow a smaller amount or get a lower interest rate. A longer tenure lowers the EMI but increases the total interest you pay, so pick the shortest tenure whose EMI fits comfortably in your monthly budget.
What happens if I prepay part of the loan?
A part-prepayment reduces your outstanding principal. Lenders then either reduce your EMI or shorten the tenure. RBI does not allow foreclosure or prepayment charges on floating-rate loans to individuals for non-business purposes; fixed-rate loans may carry a charge set out in your loan agreement.