EMI Calculator
The EMI Calculator works out the fixed monthly instalment (EMI) on a home, car, or personal loan from just three inputs - loan amount, interest rate, and tenure - and splits every payment into principal and interest.
How EMI is calculated
EMI stands for Equated Monthly Instalment. It is derived with the standard reducing-balance formula: EMI = P × r × (1+r)n / ((1+r)n − 1), where P is the principal, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of months. Early instalments are mostly interest; later ones are mostly principal.
Use it to compare loans
Change the tenure and watch the trade-off: a longer term lowers the monthly EMI but raises the total interest you pay over the life of the loan. Seeing the total interest and the full breakdown helps you choose a repayment plan you can actually afford. For a month-by-month schedule, pair it with the Amortization Calculator.
Frequently Asked Questions
What exactly is an EMI?
An EMI is the fixed amount you repay each month, combining part of the principal and the interest, so the loan is fully cleared by the end of the tenure.
Does a longer tenure reduce my cost?
A longer tenure lowers each monthly EMI but increases the total interest paid over the loan's life, so the overall cost is higher.
Why is early EMI mostly interest?
Interest is charged on the outstanding balance, which is highest at the start. As the balance falls, the interest portion shrinks and more of each EMI repays principal.
Is the EMI result a guaranteed figure?
It is an accurate estimate based on your inputs. Actual bank EMIs may differ slightly due to processing fees, insurance, or changing (floating) rates.
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