Loan EMI Calculator — Free Online Tool
EMI (Equated Monthly Installment) is the fixed amount you pay your lender every month. Enter your loan details below to see exactly what you'll pay each month — and how much of it is interest.
What is the Loan EMI Calculator?
When you borrow money — a car loan, personal loan, or home loan — the lender charges interest on the reducing balance: each month you pay interest on what's still owed, plus a slice of the principal. The EMI formula blends these so your payment stays identical every month, which makes budgeting easy.
Two things surprise most borrowers. First, early payments are mostly interest; the principal shrinks slowly at first. Second, small rate differences compound into large sums: on a long loan, even half a percentage point can cost thousands. Use this calculator to compare offers before you sign — always compare the total interest, not just the monthly figure.
How to use this calculator
- Enter the loan amount (principal) you plan to borrow.
- Enter the annual interest rate quoted by the lender.
- Enter the loan term in years.
- Click Calculate EMI to see your monthly payment, total interest, and total repayment.
Formula
Frequently asked questions
What is EMI?
Equated Monthly Installment — a fixed monthly payment covering both principal and interest, so the loan is fully repaid by the end of the term.
Does a longer term always mean lower EMI?
Yes, but you pay much more interest overall. A longer term lowers the monthly burden while raising the total cost.
What happens if I prepay part of my loan?
Extra payments reduce the principal, which cuts future interest. Many lenders let you prepay; check for prepayment penalties first.
Is the interest rate here nominal or effective?
Enter the nominal annual rate your lender quotes. The calculator converts it to a monthly rate the standard way lenders do.