EMI Loan Calculator
Calculate EMI, total payable amount, and total interest from principal, annual rate, and tenure in months.
Written by Golam Rabbani, Founder & Lead Engineer
How to use this emi loan calculator
- Enter the loan amount (principal) you plan to borrow.
- Enter the annual interest rate quoted by your bank or lender.
- Enter the tenure in months — for example 240 for a 20-year home loan.
- Choose a currency (INR by default, switch to USD/GBP/EUR/AED/SGD as needed).
- Press Calculate to see the monthly EMI, total payable, and total interest. Use Copy to save the result.
About this emi loan calculator
EMI (Equated Monthly Installment) is the fixed monthly payment that fully amortizes a loan over a chosen tenure, where each instalment includes both interest and a portion of principal. It is the most common loan-payment quote in India and much of Asia. The formula is EMI = P × r × (1+r)^n / ((1+r)^n − 1), where P is the principal, r is the monthly interest rate (annual rate ÷ 12, expressed as a decimal), and n is the tenure in months. The math is identical to the U.S. mortgage amortization formula — just presented per-month.
For example, a ₹10,00,000 home loan at 9.5% annual interest over 240 months gives r = 0.095/12 ≈ 0.007917, EMI ≈ ₹9,321.31, total payable ≈ ₹22,37,114, and total interest ≈ ₹12,37,114. The Reserve Bank of India (RBI) and major Indian banks publish this exact formula in their lending disclosures; see also the standard amortization derivation in any finance textbook (e.g. Brealey, Myers & Allen, "Principles of Corporate Finance").
This calculator is for estimation only and is not financial advice — consult a qualified financial advisor or your lender before committing to a loan.
FAQ
- How is EMI different from a U.S.-style monthly payment?
- It is not — the underlying math is identical. "EMI" is the term used in India and across South/Southeast Asia for the same fixed monthly amortizing payment that U.S. lenders quote as a "monthly payment".
- Is the rate I enter monthly or annual?
- Annual. The tool divides by 12 internally to get the monthly rate used in the formula. If your lender quotes you a monthly rate, multiply it by 12 before entering it here.
- Why is the EMI fixed while interest within it shrinks each month?
- Each month interest is calculated on the outstanding balance, so the interest portion of the EMI falls and the principal portion rises over time — even though the EMI itself stays the same. This is true for every amortizing fixed-rate loan.
- What is total payable and total interest?
- Total payable is EMI × n — the sum of every instalment you will make. Total interest is total payable minus the principal — the lender's charge for the loan.
- Does this support floating-rate loans?
- No. EMI math assumes the rate stays constant for the full tenure. For floating-rate loans, re-run the calculator each time the rate resets to see the new EMI.
- Should I use this for the final loan decision?
- Use it for estimation only. Processing fees, GST on charges, prepayment penalties, and insurance riders can affect the real cost. Always confirm the final terms with your lender and, ideally, a qualified financial advisor.