Personal Loan EMI Calculator

Loandelight’s personal loan EMI calculator makes your loan calculations very simple. You can easily calculate your exact monthly EMI using this calculator.

First enter the loan amount you need to borrow, next the interest rate and the loan tenure. The EMI calculator immediately shows your results with accurate EMI amount you need to pay.

The EMI calculator will also show you the total interest payable till the end of the loan tenure and the total principal amount.

_*Loan amount ranging from 1Lakh to 1Crore

_*Interest Rates (starting from 10.25%*_* p.a. onwards)

_*Loan Tenure (ranging from 12 months- 72_* months)

What is an EMI?

The Equated Monthly Instalment (or EMI) consists of the principal portion of the loan amount and the interest. Therefore, EMI = principal amount + interest paid on the personal loan. The EMI, usually, remains fixed for the entire tenure of your loan, and it is to be repaid over the tenure of the loan on a monthly basis.

How EMI is calculated? The formula

P x R x (1+R)^N / [(1+R)^N-1]

P = Principal amount of the loan

R = Rate of interest

N = Number of monthly instalments.

So, say for example you are applying for a personal loan, amounting to Rs 2,00,000 at a rate of interest of 15.5% p.a. and your loan tenure is 2 years, your EMI will be calculated as under:

EMI = 200000* 0.0129 * (1+ 0.0129)^24 = Rs 9,745 / [(1+ 0.0129)^24 ]-1

The rate of interest (R) on your loan is calculated monthly i.e. (R= Annual rate of interest/12/100). For instance, if R = 15.5% per annum, then R= 15.5/12/100 = 0.0129.

Finding it complicated? Don’t worry! Use our Personal Loan EMI calculator.

Remember, the interest rate and your loan tenure are the vital deciding factors for your loan EMI. Higher the interest rate on the loan, higher will be your EMI and vice-versa. Similarly, a shorter loan tenure increases your EMI and vice versa.

Do note that during the initial months of the loan tenure, you pay more towards interest, and gradually, as you repay the loan, a higher portion is adjusted towards the principal component. This is because; EMIs are computed on a reducing balance method, which works in your favour as a borrower.