Personal Loan EMI Calculator
Calculate your monthly EMI, total interest payable, and total payment for your personal loan. Make informed decisions about your loan terms.
Frequently Asked Questions
What is EMI?
EMI (Equated Monthly Installment) is a fixed amount that you pay monthly to repay your loan. It includes both principal and interest components, calculated using the reducing balance method.
How is personal loan EMI calculated?
Personal loan EMI is calculated using the formula: EMI = P × r × (1 + r)^n / ((1 + r)^n - 1), where P is Principal amount, r is monthly interest rate, and n is total number of months.
What factors affect my personal loan EMI?
Your EMI depends on three main factors: loan amount (principal), interest rate, and loan tenure. A higher loan amount or interest rate increases EMI, while a longer tenure reduces it but increases total interest paid.
How can I reduce my EMI?
You can reduce your EMI by: 1) Extending the loan tenure (though this increases total interest), 2) Making a larger down payment to reduce principal, 3) Finding a lender with lower interest rates, or 4) Maintaining a good credit score to qualify for better rates.