Personal Loan EMI Calculator
Estimate monthly EMI and review interest, fees and repayment options.
Outstanding loan balance
The balance falls as principal is repaid. Processing fees are shown separately from loan interest.
View chart data
Look at the cash received and the total repaid
Personal-loan processing charges and optional insurance can affect how much cash reaches you and what you repay overall. This calculator treats the fee input as an upfront cash cost, leaving a net initial benefit equal to the principal less fees. It does not assume that every lender permits immediate or unlimited part-prepayment.
A practical example
A Rs 3 lakh loan with Rs 6,000 of upfront charges has a net initial cash benefit of Rs 2.94 lakh, even though interest and instalments are based on Rs 3 lakh. Comparing effective annual borrowing costs can expose differences that are not obvious from the quoted rate alone.
How the EMI calculation works
EMI = P × r ÷ [1 − (1 + r)^(−n)]P is the principal, r is the annual nominal rate divided by 1,200, and n is the number of months. At zero interest, EMI = P ÷ n. The schedule rounds payments and monthly interest to paise, applies prepayments after the EMI, and adjusts the final instalment to clear the balance. It assumes a constant rate, monthly intervals and no moratorium. Daily accrual, disbursement timing and lender rounding can cause differences.
Fees and the effective annual rate
The effective annual rate discounts baseline instalments against the principal less upfront fees, then annualizes the monthly result by compounding. It excludes prepayments because those are optional future cash flows. Compare the result with your lender's Key Facts Statement, which should disclose the applicable annual percentage rate, fees and repayment terms.
Personal Loan EMI Calculator: Frequently Asked Questions
How do I calculate personal loan EMI?
Use the amount borrowed, annual nominal interest rate and number of repayment months. The model calculates a regular monthly installment on a reducing balance; processing fees are entered separately as an upfront cost.
What determines the total cost of a personal loan?
Interest, repayment term and fees all matter. A lower advertised rate can still produce a higher effective cost if fees are substantial or the term is longer. Compare the same net cash received and repayment duration.
Does increasing personal loan tenure reduce the cost?
It usually reduces the monthly EMI, not the total cost. At an unchanged positive rate, a longer repayment period generally produces more interest because the principal remains outstanding for longer.
What is the difference between loan amount and disbursed amount?
The loan amount is the principal on which repayment is based. The amount received may be lower if the lender deducts upfront charges. This distinction matters when comparing the effective cost of borrowing.
Can I include insurance and processing charges?
Entered upfront costs can include relevant charges paid or deducted when the loan begins. Do not count financed charges twice. Optional insurance, taxes on fees and other items should match the lender's actual quote.
More questions (5)
Will a higher credit score change this calculator's EMI?
Not directly. The calculator uses the rate entered, not a credit-score model. A lender may quote different terms after assessing an application; use the actual quoted rate when comparing payments.
Does the repayment estimate include late-payment penalties?
No. The schedule assumes payments occur on time. Missed-payment charges, penal interest and collection costs depend on the contract and are not automatically added.
Are fees deducted from the loan or paid separately?
The model treats them as an upfront cost. Either payment route gives the same net initial cash benefit for this calculation. If fees are financed, include them in the principal and avoid entering them again as an upfront cost.
Will my lender accept the prepayment plan?
Not necessarily. Lock-in periods, minimum amounts and other conditions can apply. Enter charges and timing that match the loan contract; the calculator does not determine eligibility.
Does the affordability result guarantee approval?
No. It applies your chosen EMI-to-income assumption. Lenders also consider credit history, income stability, existing obligations and their own underwriting rules.