Calculator
EMI / Loan Calculator
Monthly payment, total interest, and full cost of any reducing-balance loan.
dhanmetrics.com · Educational illustration only · Not investment advice
Monthly EMI
₹43,391
Total interest is 108% of your loan
Total amount payable
₹1,04,13,879
What this means
Over 20 years, you'll pay ₹54.1L in interest on a ₹50.0L loan — more than the loan itself. Long tenures keep the EMI low but compound the interest you hand the bank. Even a small prepayment each year quietly cuts years off this.
What if you…
Cut tenure to 15 years (higher EMI)
₹38.6L interest
-₹15.5L interest
Got a 7.5% rate (1% lower)
₹46.7L interest
-₹7.5L interest
Paid 1 extra EMI per year
₹44.4L interest
-₹9.7L interest
Educational illustration. Assumes a fixed reducing-balance rate for the full tenure. Floating rates, processing fees, insurance and prepayment charges are not included. Check with your bank for the actual EMI on offer.
Adjust your scenario
Type, drag, or tap a chip — the result on the right updates instantly.
Inputs
Works for any reducing-balance loan — home, car, personal, education.
Typical Indian home loan rates: 8.5–9.5%. Personal loans: 10–18%. Car loans: 8.5–11%. Check with your bank for the current rate you qualify for.
Longer tenure = smaller EMI but much more total interest. Try 10, 20, and 30 years on the same loan to see the trade-off.
Loan breakdown
Total paid: principal vs interest
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Worked example
₹50 lakh home loan at 9% interest for 20 years
Total payment: ₹1,07,96,640 · Total interest: ₹57,96,640
A ₹50 lakh home loan at 9% over 20 years carries a monthly EMI of ₹44,986. Over the full tenure you pay ₹1.08 crore in total — meaning ₹57.97 lakh of pure interest, more than the principal itself.
Reducing-balance EMI calculation, the method all Indian banks use.
Frequently asked questions
Real answers to the questions people search before using this calculator.
How is EMI calculated?
EMI uses the formula EMI = P × r × (1+r)^n / ((1+r)^n − 1), where P is principal, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of monthly instalments. The calculator solves this and shows month-wise principal vs interest breakup.
What is the difference between EMI and reducing balance interest?
All standard bank EMIs in India use the reducing balance method — interest is charged only on the outstanding principal each month, so the interest portion shrinks while the principal portion grows. Avoid lenders quoting flat-rate interest; the effective rate is nearly double.
Does prepaying a loan reduce EMI or tenure?
You choose. Most banks let you either keep the EMI fixed and shorten the tenure (saves the most interest) or shorten the EMI and keep the tenure. For home loans, reducing tenure typically saves 30–50% of the lifetime interest on a 20-year loan.
What is FOIR and how does it affect my loan eligibility?
FOIR (Fixed Obligation to Income Ratio) is the share of your net monthly income that goes to all EMIs. Most Indian banks cap this at 40–55% depending on income level. The lower your existing obligations, the higher your loan eligibility.
Can I get a tax benefit on home loan EMI?
Yes. Under the Old Tax Regime, principal repayment is deductible up to ₹1.5 lakh under Section 80C and interest up to ₹2 lakh under Section 24(b) for a self-occupied property. The New Regime mostly removes these benefits except for let-out properties.
What happens if I miss an EMI payment?
Missing one EMI triggers a late fee (typically ₹500–₹1,000) plus penal interest of 1–2% per month on the overdue amount. Repeated misses harm your CIBIL score, and after 90 days the loan becomes a Non-Performing Asset, which severely restricts future borrowing.