How is EMI calculated?

EMI employs the formula EMI = P × r × (1 + r)^N / ((1 + r)^N − 1) for amortization; our calculator calculates the math and shows per-period interest vs. principal. The formula uses the principal loan amount (P), the monthly interest rate (r), and the number of payments (N).

Can I pay by installments?

Yes—part payments (extra payments) decrease the outstanding principal and can either decrease future EMIs or reduce the loan tenure. The calculator can simulate both scenarios and show the interest saved.

What if I miss a payment?

Missing a payment can result in late charges, credit bureau reporting, and a negative credit result if left unpaid. It is important to pay past-due amounts promptly and contact your lender to prevent escalation.

Personal Loan EMI Calculator – Calculate Your Monthly Payments

Loan Scenario 1

Loan Amount

Annual Interest Rate (%)

Loan Term

Yrs Mos

Start Date

Advanced Options

Processing Fee (%)

Extra Payments (JSON format)

Periodic Payment --

Total Interest --

Total Payment --

APR (Effective) --

#	Date	Payment	Principal	Interest	Extra	Balance

Enable "Compare Loans" mode to see a side-by-side summary here.

Estimates only. Consult your lender for exact figures. All calculations use high-precision math to minimize rounding errors.

Compute Your Loan's Monthly Payment Right Away

Enter the amount you wish to borrow, interest rate, and the loan duration below to get your Equated Monthly Instalment (EMI) instantly.

This Personal Loan EMI Calculator assists you to compute personal loan EMI, see a complete amortization schedule, compare scenarios, and export results for record keeping. It informs you of the Monthly Payment (EMI), Total Interest Paid, and Total Payment (Principal + Interest) so that you can budget your monthly expenses and long term repayment strategies. To be complete, it even computes an effective APR when you include processing fees and other finance charges.

How to use our Personal Loan Calculator to plan your finances.

Enter how much money you want to borrow (₹).
Enter the rate of interest—use the provided annual rate or a guessed market rate if you do not know.
Select Loan Term (years / months)—select the repayment period that you can easily manage. The shorter the duration, the higher your monthly payment, but you pay less interest and a lower amount.

The calculator uses the standard amortization formula and gives you an instant EMI and downloadable amortization schedule where you can view the principal and interest composition of each payment. You can learn more about Understanding amortization — Khan Academy for a clearer picture.

What the findings are showing (summary guide)

Monthly Payment (EMI): fixed payment every month paying interest + principal. This allows you to budget a fixed monthly outlay. [2]
Total Interest Paid: the overall interest over the length of the loan—a direct measure of how expensive the loan will be.
Total Payment: the principal amount + total interest (plus any fees you include).
Amortization Schedule: This is a table that shows how each payment is divided between interest and the main amount owed, and what is left to pay after each payment. [3, 4] It helps you understand when your ownership increases and how extra payments affect the final payment date.

Step-by-step analysis—amortization and why it works

An amortization schedule displays each payment from beginning to end—interest to principal and balance breakdowns. [6] The early payments are interest-based; subsequent payments are more principal-based. Exporting the schedule (PDF/CSV) assists in tax season, financial planning, and lender negotiations. Use the planner to experiment with extra payments, balloon payments, or shorter terms, and see immediately how these alternatives save you interest cost and payback time.

Case Study (Sample Scenario)

You can try this example to verify the calculator's accuracy.

Loan Amount: ₹500,000
Annual Interest Rate: 12%
Term: 60 months (5 years)

Results (standard payment plan): Monthly payment is approximately ₹11,122.22, total payment is approximately ₹667,333.43, and total interest is approximately ₹167,333.43. (Numbers based on the standard payment formula and rounded to the nearest rupee.)

What decides your personal loan EMI?

Loan Amount: larger principal → higher EMI.
Interest Rate: small rate changes make a huge difference in EMI and paid interest; always compare lender quotes and understand the Difference between interest rate and APR — CFPB. [7, 9, 10]
Loan Tenure: lengthening tenure reduces EMI but increases interest in the long run.
Credit Score: Higher scores tend to qualify for lower interest rates. Inform borrowers of this when presenting rate ranges.
Processing charges and fees set the effective APR and true cost of borrowing. The calculator can account for a processing charge to quote a rate that approximates the APR. To learn more, read the guide from the Consumer Financial Protection Bureau on what APR is and why it matters.

Advanced features (what distinguishes this calculator as production-grade)

High-precision arithmetic: every monetary arithmetic employs decimal.js — high-precision arithmetic for JavaScript (GitHub) (arbitrary-precision Decimal) to prevent JavaScript float quirks and permit rounding modes to be specified. This provides reliable, auditable figures for EMI, amortization, and APR computations. See the decimal.js API / docs for more information.
Balloon payments and extra payments: experiment with one-time or periodic extra payments and a final balloon payment and observe how they reduce the loan term and interest expense.
Payment frequency options: monthly, bi-weekly, weekly—amortization scales with payment frequency.
Aggregator and reconciliation util: this util has sumPayments(), sumInterest(), and validateTotals(). Returns a reconciliation JSON with precision, roundingMode, computedAt, and a confidence score (derived from reconciliation differences vs. tolerance). Always show the rounding tolerance (default ≤ ₹0.01).
Export & share: CSV/PDF export, print-friendly view, and shareable permalink for an input snapshot. To structure this for search engines, we use WebApplication schema — Schema.org following SoftwareApplication structured data — Google Search Central guidelines.

Methodology — "Explain this calculation"

We break down the EMI formula and how it works into plain words:

EMI Formula

EMI = P × r × (1 + r)^N / ((1 + r)^N − 1)

Where P = loan amount, r = rate of interest per period (annual rate ÷ payments per year), and N = number of payments. This formula, explained by resources like Equated Monthly Instalment (EMI) — Investopedia, provides the fixed payment size for a loan that is repaid over time. [1, 5] The calculator employs exact math and remembers how rounding is accomplished.

APR footnote: APR is a measure of cost that involves interest and lender fees. We calculate an "effective APR" for convenience by including processing fees and using a method to calculate a single-rate equivalent. [7, 9, 10] We also use official definitions when we define APR in consumer materials.

Utilizing the calculator in making wise financial planning

Begin by establishing a monthly cap: choose an EMI that you can afford and determine the optimum loan amount or ideal loan tenor with the help of the calculator.
Compare tenure choices: compare 3 choices side-by-side (shorter term / baseline / longer term) to see trade-offs between monthly payment and interest paid.
Test additional payments: an occasional lump sum or monthly rounding up can significantly cut overall interest—the calculator displays new payoff date and interest savings.

For regional context, it's always good to be aware of guidelines from institutions like the Reserve Bank of India — official guidelines.

Frequently Asked Questions

A web-based calculator that calculates your Equated Monthly Instalment (EMI) in terms of loan amount, rate of interest, and tenure—and generates a complete amortization schedule for your budget.

EMI employs the formula given above for amortization; our calculator calculates the math and shows per-period interest vs. principal. [1, 2, 3]

Yes—part payments decrease outstanding principal and can decrease future EMIs or reduce tenure. The calculator simulates both scenarios and gives interest saved.

Missing a payment can result in late charges, credit bureau reporting, and a negative credit result if unpaid. Pay past-due amounts promptly and call your lender to prevent escalation.