Personal Loan EMI Calculator
Thinking about getting a loan for your personal expenses? Our personal loan calculator makes planning simple in just 3 easy steps. Get accurate EMI estimates, compare repayment options, and take better financial decisions instantly.
Loan Repayment Breakdown (Amortization Schedule)
A personal loan’s EMI includes both principal and interest. Over time, the interest portion reduces while the principal portion increases.
Example: ₹5 lakh loan at 12% interest for 3 years:
| Year | Principal Paid | Interest Paid | Balance Left |
|---|---|---|---|
| Year 1 | ₹1,36,547 | ₹53,453 | ₹3,63,453 |
| Year 2 | ₹1,53,184 | ₹36,816 | ₹2,10,269 |
| Year 3 | ₹2,10,269 | ₹13,731 | ₹0 |
How Our Personal Loan Calculator Helps You?
Financial planning becomes easier when you know your numbers. Here’s how this tool supports you:
- Plan with Clarity — Get exact EMI estimates before applying for a loan. Adjust loan amount and tenure to find the perfect fit for your budget.
- Compare Smartly — Try out different scenarios. A 2-year loan vs. a 5-year loan shows you the difference in EMI and total interest instantly.
- Apply with Confidence — Walk into your bank or NBFC knowing what EMI you can afford. With this knowledge, you can negotiate rates and terms better.
EMI calculation is based on three key factors: the loan amount (principal), interest rate, and loan tenure. The calculation uses the reducing balance method, where interest is calculated on the outstanding principal amount.
EMI Formula
EMI = [P × R × (1+R)^N] / [(1+R)^N-1]
P = Principal loan amount
R = Monthly interest rate (Annual rate ÷ 12)
N = Loan tenure in months
Why Understanding EMI is Important
Common Loan Types in India
Interest rates: 8.5% – 11.5% | Tenure: Up to 30 years.
Most popular loan type with tax benefits under Section 80C and 24(b)
Interest rates: 9% – 15% | Tenure: Up to 7 years
Secured loan with the vehicle as collateral, typically faster processing
Interest rates: 12% – 24% | Tenure: Up to 5 years
Unsecured loan for any purpose, no collateral required
Interest rates: 8% – 30% | Tenure: Up to 5 years
Two-wheeler loans with easy repayment and quick approval
Your total EMIs should not exceed 40-50% of your monthly income. This ensures you have enough left for other expenses and emergencies. Always compare offers from multiple banks and choose the best combination of interest rate and tenure.
Frequently Asked Questions
Common questions about personal loan EMI calculations
Need more help? These answers are for general guidance. For specific loan advice, consult with your bank or a qualified financial advisor.