Free Online EMI Calculator
Plan your finances effectively by calculating the Equated Monthly Installment (EMI) for your loans. Enter the loan amount, interest rate, and tenure to see your monthly payment, total interest, and more.
Loan Details
Loan Summary
Loan Amount:
₹ --
Monthly EMI:
₹ --
Total Interest Payable:
₹ --
Total Payment (Principal + Interest):
₹ --
How to Use the EMI Calculator
Our free EMI calculator is designed for simplicity:
- Enter the total Loan Amount you wish to borrow.
- Input the applicable Annual Interest Rate (%) for the loan.
- Specify the Loan Tenure (duration) and select whether it's in Years or Months.
- Click the "Calculate EMI" button.
- Instantly view your calculated Monthly EMI, Total Interest, and Total Payment breakdown.
What is EMI?
EMI stands for Equated Monthly Installment. It's a fixed payment amount made by a borrower to a lender at a specified date each calendar month. EMIs are used to pay off both interest and principal each month so that over the specified loan tenure, the loan is fully paid off.
The formula used to calculate EMI is:
EMI = P × r × (1 + r)ⁿ / ((1 + r)ⁿ - 1)
Where:
- P = Principal loan amount
- r = Monthly interest rate (Annual Rate / 12 / 100)
- n = Loan tenure in months
Understanding Your Loan Breakdown
This calculator provides key figures to help you understand the cost of your loan:
- Monthly EMI: The fixed amount you'll pay each month. Knowing this helps in budgeting.
- Total Interest Payable: This shows the total cost of borrowing over the entire loan duration, above the principal amount.
- Total Payment: The sum of the principal loan amount and the total interest payable. This is the grand total you will have paid back by the end of the loan tenure.
- Amortization (Conceptual): While this calculator shows the totals, a full loan amortization schedule (which you can often get from your lender) details how each EMI payment is split between principal repayment and interest charges over time. Initially, a larger portion of the EMI goes towards interest, and this gradually shifts towards principal repayment as the loan matures.
Benefits of Using an EMI Calculator
- Financial Planning: Helps you determine loan affordability and plan your monthly budget.
- Loan Comparison: Allows you to compare offers from different lenders by seeing the impact of varying interest rates and tenures.
- Negotiation Power: Understanding your potential EMI gives you better footing when negotiating loan terms.
- Transparency: Provides a clear picture of the total cost involved in taking out a loan.