EMI calculator
A Rs 5,00,000 loan at 10.5% for 5 years has an EMI of Rs 10,747 and total interest of Rs 1,44,817. Enter your own loan, rate and tenure.
Results update as you type. Nothing you enter is stored.
| Year | Principal paid | Interest paid | Balance |
|---|---|---|---|
| 1 | Rs 80,253 | Rs 48,711 | Rs 4,19,747 |
| 2 | Rs 89,097 | Rs 39,867 | Rs 3,30,651 |
| 3 | Rs 98,916 | Rs 30,048 | Rs 2,31,735 |
| 4 | Rs 1,09,816 | Rs 19,147 | Rs 1,21,919 |
| 5 | Rs 1,21,919 | Rs 7,045 | Rs 0.00 |
| Tenure | EMI | Total interest |
|---|---|---|
| 1 yr | Rs 44,074 | Rs 28,892 |
| 2 yr | Rs 23,188 | Rs 56,512 |
| 3 yr | Rs 16,251 | Rs 85,044 |
| 4 yr | Rs 12,802 | Rs 1,14,481 |
| 5 yr | Rs 10,747 | Rs 1,44,817 |
| 7 yr | Rs 8,430 | Rs 2,08,148 |
| 10 yr | Rs 6,747 | Rs 3,09,610 |
How it works
Almost all bank loans in India use the reducing balance method: each EMI pays the month's interest on what you still owe, and the rest reduces the loan. The schedule shows the principal and interest you pay each year and the balance left.
Formula
EMI = P x r x (1 + r)^n / ((1 + r)^n - 1), r = annual rate / 12 / 100, n = months
Frequently asked questions
How is EMI calculated?
With the reducing balance formula EMI = P r (1+r)^n / ((1+r)^n - 1), where r is the monthly rate and n the number of months.
Why is most of the early EMI interest?
Interest is charged on the outstanding balance, which is highest at the start, so early EMIs repay little principal.
Does a longer tenure reduce EMI?
Yes, but total interest rises. The table compares tenures for the same loan and rate.
Related
This tool is for information only and is not investment, tax or legal advice. Results depend on the inputs and assumptions you enter; check important figures with the official source or a qualified professional.