EMI Calculator
Estimate your monthly loan installment, total interest and total payment.
What is an EMI, and who needs an EMI calculator?
EMI stands for Equated Monthly Instalment, the fixed amount you pay your lender every month until a loan is cleared. Each EMI has two parts: interest on the balance still owed, and a repayment of principal. This calculator shows your monthly EMI, the total interest you will pay and the total amount repaid, all in rupees.
Anyone planning a home, car, personal or education loan can use it, along with first-time borrowers comparing banks, salaried people checking whether an EMI fits their monthly budget, and buyers choosing between a shorter and a longer tenure. Lenders commonly look at how much of your income already goes to EMIs, so knowing the figure before you apply helps.
Formula used
- EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1)
- P = loan amount, r = annual interest rate ÷ 12 ÷ 100, n = tenure in years × 12
- Total payment = EMI × n, and Total interest = Total payment − P
Worked example
Suppose you take a home loan of ₹10,00,000 at 9% per year for 20 years.
- r = 9 ÷ 12 ÷ 100 = 0.0075 and n = 20 × 12 = 240
- (1.0075)240 is about 6.0092
- EMI = 10,00,000 × 0.0075 × 6.0092 ÷ (6.0092 − 1) = about ₹8,997
- Total payment = 8,997 × 240 = about ₹21.59 lakh
- Total interest = about ₹11.59 lakh, which is more than the loan itself
A shorter loan behaves differently. For a personal loan of ₹5,00,000 at 12% for 3 years, r = 0.01 and n = 36. (1.01)36 is about 1.4308, so the EMI is about ₹16,607. Total payment is about ₹5,97,857, which means roughly ₹97,857 in interest.
Frequently asked questions
What is the difference between a flat rate and a reducing balance rate?
This calculator uses the reducing balance method, where interest is charged only on the amount still unpaid. A flat rate charges interest on the full original amount for the entire tenure, so it is effectively much higher than the same number on a reducing balance.
Does a longer tenure reduce my EMI?
Yes, but you pay more interest overall. For a ₹10 lakh loan at 9%, the EMI is about ₹8,997 over 20 years and about ₹10,143 over 15 years, but total interest falls from about ₹11.59 lakh to about ₹8.26 lakh.
Does the EMI include processing fees, GST or insurance?
No. The result covers only principal and interest. Processing fees, GST on charges, loan insurance and prepayment penalties are separate, so check your lender's sanction letter for the full cost.
What happens to my EMI if the interest rate on my floating-rate loan changes?
Your lender usually adjusts either the EMI or the tenure. To see the effect, run the calculator again with the new rate and your remaining loan amount and remaining tenure.
Can I use this for home, car and personal loans?
Yes, for any loan repaid in equal monthly instalments on a reducing balance. Enter the tenure in years, so for 18 months type 1.5.
Limitations and accuracy
Results are estimates. Your bank may round the EMI differently, charge from a different date, or collect the first instalment early, so the final figures can differ by a few rupees. The tool assumes a fixed rate for the full tenure, ignores part-prepayments and moratorium periods, and does not show a month-by-month schedule. It also needs an interest rate above zero. Always confirm exact figures in your lender's loan agreement before signing.