EMI Calculator
Calculate your monthly installments and plan your loan repayments
Calculate Your EMI
Amortization Schedule
| Year | Principal (A) | Interest (B) | Total Payment (A + B) | Balance | Loan Paid To Date |
|---|---|---|---|---|---|
| + FY26 | $79,115 | $48,367 | $127,482 | $920,885 | 7.91% |
| + FY27 | $170,552 | $84,412 | $254,964 | $750,333 | 24.97% |
| + FY28 | $188,411 | $66,555 | $254,964 | $561,922 | 43.81% |
| + FY29 | $208,140 | $46,824 | $254,964 | $353,781 | 64.62% |
| + FY30 | $229,935 | $25,030 | $254,964 | $123,845 | 87.62% |
| + FY31 | $123,844 | $3,638 | $127,482 | $0 | 100.00% |
Understanding EMI Calculations
How EMIs work and what factors affect your monthly payments
Loan Amount
The principal amount you borrow directly impacts your EMI. The larger the loan, the higher your monthly payment will be, assuming all other factors remain constant.
Interest Rate
Interest rate has a significant effect on your EMI. Even a small change in the interest rate can substantially impact your total repayment amount over the loan term.
Loan Term
A longer loan term reduces your monthly EMI but increases the total interest paid over time. Conversely, a shorter term increases your EMI but reduces total interest paid.
The EMI Formula Explained
How banks and lenders calculate your monthly installment
EMI Calculation Formula
EMI = [P × r × (1+r)^n] ÷ [(1+r)^n - 1]
Where:
- P = Principal loan amount
- r = Monthly interest rate (annual rate ÷ 12 ÷ 100)
- n = Total number of monthly installments (loan term in years × 12)
- ^ = Power of (e.g., (1+r)^n means (1+r) raised to the power of n)
Lower Your EMI
To reduce your EMI, you can negotiate a lower interest rate, extend your loan term, or make a larger down payment to reduce the principal amount.
Save on Interest
Make extra payments towards your principal whenever possible. Even small additional payments can significantly reduce total interest paid over the loan term.
Monitor Interest Rates
Keep track of interest rate trends. If rates drop significantly, consider refinancing your loan to secure a lower rate and reduce your EMI.
Compare Loan Options
Always compare multiple loan offers, looking beyond just the interest rate. Consider processing fees, prepayment penalties, and other terms that may affect your total cost.
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