EMI Calculator India
Calculate Equated Monthly Installment (EMI) for home, car, personal, and education loans
Calculate Your EMI
Total amount you want to borrow
Annual rate of interest charged by the lender
Duration of the loan (120 months total)
Loan Parameters
Principal Amount
₹10,00,000
Monthly Interest Rate
0.833%
Loan Term
120 months
Total Payments
120 EMIs
EMI Calculation Results
| EMI (Equated Monthly Installment) | ₹13,215 |
| Principal Loan Amount | ₹10,00,000 |
| Total Interest Due | ₹5,85,809 |
| Total Amount Payable | ₹15,85,809 |
| Loan Term | 10 years (120 months) |
| Interest to Principal Ratio | 58.6% |
EMI Breakdown
Monthly Payment
₹13,215
Interest Percentage
36.9%
Principal Percentage
63.1%
Formula used: EMI = P × r × (1+r)^n / ((1+r)^n - 1)
Where: P = Principal (₹10,00,000), r = Monthly interest rate (0.833%), n = Number of months (120)
Example Calculation
Scenario: Home loan of ₹10,00,000 at 10% annual interest for 10 years
Calculation:
• P = ₹10,00,000
• r = 10% per annum = 10% / 12 months = 0.833% per month = 0.00833
• n = 10 years × 12 months = 120 months
Formula: EMI = 10,00,000 × 0.00833 × (1+0.00833)^120 / ((1+0.00833)^120 - 1)
Result: EMI = ₹13,215 per month
Total payment over 10 years = ₹15,85,800
Total interest paid = ₹5,85,800
Monthly Payment Schedule (First Year)
| Month | EMI | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | ₹13,215 | ₹4,882 | ₹8,333 | ₹9,95,118 |
| 2 | ₹13,215 | ₹4,922 | ₹8,293 | ₹9,90,196 |
| 3 | ₹13,215 | ₹4,963 | ₹8,252 | ₹9,85,233 |
| 4 | ₹13,215 | ₹5,005 | ₹8,210 | ₹9,80,228 |
| 5 | ₹13,215 | ₹5,046 | ₹8,169 | ₹9,75,181 |
| 6 | ₹13,215 | ₹5,088 | ₹8,127 | ₹9,70,093 |
| 7 | ₹13,215 | ₹5,131 | ₹8,084 | ₹9,64,962 |
| 8 | ₹13,215 | ₹5,174 | ₹8,041 | ₹9,59,788 |
| 9 | ₹13,215 | ₹5,217 | ₹7,998 | ₹9,54,572 |
| 10 | ₹13,215 | ₹5,260 | ₹7,955 | ₹9,49,311 |
| 11 | ₹13,215 | ₹5,304 | ₹7,911 | ₹9,44,007 |
| 12 | ₹13,215 | ₹5,348 | ₹7,867 | ₹9,38,659 |
Notice how the interest component (orange) decreases and principal component (green) increases over time
Yearly Payment Summary
| Year | Principal Paid | Interest Paid | Remaining Balance |
|---|---|---|---|
| Year 1 | ₹61,341 | ₹97,239 | ₹9,38,659 |
| Year 2 | ₹67,764 | ₹90,816 | ₹8,70,895 |
| Year 3 | ₹74,860 | ₹83,720 | ₹7,96,035 |
| Year 4 | ₹82,699 | ₹75,881 | ₹7,13,336 |
| Year 5 | ₹91,358 | ₹67,222 | ₹6,21,978 |
| Year 6 | ₹1,00,925 | ₹57,655 | ₹5,21,053 |
| Year 7 | ₹1,11,493 | ₹47,087 | ₹4,09,560 |
| Year 8 | ₹1,23,168 | ₹35,412 | ₹2,86,393 |
| Year 9 | ₹1,36,065 | ₹22,515 | ₹1,50,328 |
| Year 10 | ₹1,50,313 | ₹8,267 | ₹15 |
About EMI
EMI stands for Equated Monthly Installment
Fixed amount paid monthly until loan is fully repaid
Includes both principal and interest components
Initial EMIs have higher interest, later EMIs have higher principal
Calculated using reducing balance method in India
Common EMI Examples (India)
₹10 Lakh @ 10% for 10 years
EMI: ₹13,215/month
Total Interest: ₹5.86 Lakh
₹25 Lakh @ 8.5% for 20 years
EMI: ₹21,734/month
Total Interest: ₹27.16 Lakh
₹50 Lakh @ 9% for 25 years
EMI: ₹41,954/month
Total Interest: ₹75.86 Lakh
₹1 Crore @ 8% for 30 years
EMI: ₹73,376/month
Total Interest: ₹1.64 Crore
Typical rates for home loans in India
EMI Planning Tips
Keep EMI below 40-50% of your monthly income
Compare rates from different banks and NBFCs
Consider prepayment to reduce interest burden
Shorter tenure = higher EMI but less total interest
Check for processing fees and pre-closure charges
Maintain good credit score for better interest rates
Understanding EMI (Equated Monthly Installment)
What is EMI?
EMI stands for Equated Monthly Installment. It is a fixed payment amount made by a borrower to a lender at a specified date each month. EMIs are used to pay off both interest and principal each month so that over a specified number of years, the loan is fully paid off.
How EMI Works in India
In India, EMI is calculated using the reducing balance method. This means interest is calculated on the outstanding principal amount after each EMI payment. As you pay more EMIs, the principal reduces, and so does the interest component of your EMI.
Types of Loans with EMI
- •Home Loans: 6.5% - 9.5% for 15-30 years
- •Car Loans: 8% - 12% for 3-7 years
- •Personal Loans: 10% - 24% for 1-5 years
- •Education Loans: 8% - 14% for 5-15 years
EMI Formula
EMI = P × r × (1+r)^n / ((1+r)^n - 1)
- P: Principal loan amount (in ₹)
- r: Monthly interest rate (Annual rate ÷ 12 ÷ 100)
- n: Number of monthly installments (Tenure in months)
EMI Structure Over Time
Initial Years: Higher interest component (70-80%), lower principal payment
Middle Years: Roughly equal interest and principal components
Final Years: Lower interest component (20-30%), higher principal payment
Important: Most banks in India allow prepayment of loans without penalties, helping you reduce total interest paid.
Factors Affecting EMI in India
Interest Rate
Varies based on RBI repo rate, bank policies, and your credit score. Even a 0.5% difference can significantly impact total interest paid.
Loan Tenure
Longer tenure reduces monthly EMI but increases total interest. Shorter tenure means higher EMI but lower total cost.
Loan Amount
Higher loan amount means higher EMI. Make a larger down payment to reduce the principal and thus the EMI and total interest.
EMI vs Fixed vs Floating Interest Rates
Floating Rate EMI
- • Interest rate changes with market conditions
- • Linked to bank's MCLR or RBI repo rate
- • EMI amount changes periodically
- • Generally starts at lower rates
- • More common for home loans
Fixed Rate EMI
- • Interest rate remains constant throughout tenure
- • EMI amount stays the same
- • Easier to plan finances
- • Generally starts at higher rates
- • Common for personal and car loans
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