EMI Calculator
Work out the monthly instalment on a home, car, education or personal loan. Change the numbers and the result updates instantly.
Loan amount Interest
Year-by-year repayment
How each year's EMIs split between interest and the loan itself, and what you still owe at the end of the year.
| Year | Interest paid | Loan repaid | Still owed |
|---|
Show the month-by-month schedule
| Month | Interest | Loan repaid | Still owed |
|---|
This is an illustration for a fixed interest rate. Your bank's figure can differ slightly because of day counts, the first EMI date, and fees or insurance added to the loan. On a floating rate loan, the EMI or tenure moves when the rate moves.
How this is calculated
The calculator uses the standard reducing-balance formula that Indian banks use for EMI loans. Each month, interest is charged on the loan still outstanding; whatever is left of the EMI pays the loan down. That is why the interest share is largest at the start and shrinks every year.
A worked example
Illustration: a 10 lakh rupee loan at 10% a year.
- Over 20 years, the EMI is about ₹9,650 and the total interest about ₹13.16 lakh, more than the loan itself.
- Over 10 years, the EMI rises to about ₹13,215, but the total interest drops to about ₹5.86 lakh.
- In year one of the 20-year loan, about ₹99,255 of your EMIs goes to interest and only about ₹16,547 to the loan.
Paying a little extra early cuts the balance that interest is charged on. Before you do, read should you prepay a loan.
Read next
- Home loan EMI calculator and personal loan EMI calculator
- Home loan basics
- Personal loan vs credit card
- Is no-cost EMI really free?
- Good debt vs bad debt
Questions people ask
How is EMI calculated (EMI kaise calculate kare)?
Banks use the reducing-balance formula: EMI = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the loan amount, r is the yearly rate divided by 12 and by 100, and n is the number of monthly instalments. Each month, interest is charged only on the loan still outstanding, and the rest of the EMI pays the loan down.
Why does most of my early EMI go to interest?
Interest is charged on the balance you still owe. At the start that balance is at its highest, so interest takes the bigger share of each EMI. As the balance shrinks, the interest part falls and more of the same EMI repays the loan itself.
Does a lower EMI mean a cheaper loan?
Not usually. A lower EMI almost always comes from a longer tenure, and a longer tenure means paying interest for more years. In the illustration on this page, the same 10 lakh rupee loan costs about 5.86 lakh in interest over 10 years but about 13.16 lakh over 20 years.
Is my bank's EMI exactly the same as this?
It should be very close for a fixed rate. Small gaps come from how the bank counts days, when the first EMI falls, and any processing fee or insurance added to the loan. On a floating rate loan, the EMI or the tenure changes whenever the rate changes, so this shows only today's picture.