🧾 EMI Calculator
Work out the monthly EMI on any loan, and see exactly how much interest you pay over the full term.
How it works
EMI is worked out with the reducing-balance formula: EMI = P × r × (1+r)n ÷ ((1+r)n − 1), where P is the loan amount, r is the monthly interest rate (the yearly rate divided by 12) and n is the tenure in months. The payment stays fixed, but the mix inside it changes — interest takes the biggest share at the start, and the principal share grows as the balance falls.
An example
Borrow ₹500,000 at 9% for 5 years and the EMI comes to ₹10,379.18 a month. Across the 60 payments you hand back ₹622,750.66 in total, so the loan costs you ₹122,750.66 in interest — roughly a quarter of what you borrowed. That total-interest figure is the number worth comparing when two lenders quote you different rates.
Common questions
What is the difference between an EMI and a flat-rate payment?
The EMI here uses the reducing-balance method: interest is charged only on what you still owe. A flat rate charges interest on the full original amount for the whole tenure, which costs far more for the same stated rate.
Can I lower my EMI?
Yes — borrow less, take a longer tenure, or get a lower rate. A longer tenure drops the monthly amount but raises the total interest, so it is a trade-off, not a free win.
What happens if I pay extra each month?
Extra payments come straight off the principal, so the interest shrinks and the loan ends sooner. Even one extra EMI a year can cut a 5-year loan short by several months.
Related calculators
This calculator gives estimates for learning. Rates, taxes and rules change, and your lender or the IRS has the final numbers — check big decisions against the real documents.