Loan/EMI Calculator
Calculate your loan EMI, total interest, and view detailed amortization schedule. Perfect for home loans, car loans, and personal loans.
EMI Calculator
Calculate your monthly EMI (Equated Monthly Installment) based on loan amount, interest rate, and term.
Amortization Schedule
View detailed month-by-month breakdown of payments, including principal and interest components.
Total Cost Analysis
Understand the total cost of your loan, including the total interest paid over the loan term.
How Loan EMI Calculation Works
EMI Formula
EMI = P × r × (1 + r)ⁿ / ((1 + r)ⁿ - 1)
Where:
- P = Principal loan amount
- r = Monthly interest rate (annual rate ÷ 12 ÷ 100)
- n = Total number of monthly payments (years × 12)
Example Calculation
For a loan of $200,000 with an annual interest rate of 5% for 30 years:
- P = $200,000
- r = 5% ÷ 12 ÷ 100 = 0.00416 (monthly rate)
- n = 30 years × 12 = 360 months
- Monthly EMI = $1,073.64
- Total Interest = $186,511.57
- Total Payment = $386,511.57
Factors Affecting EMI
- Loan Amount: Higher principal = higher EMI
- Interest Rate: Higher rate = higher EMI
- Loan Tenure: Longer term = lower EMI but more total interest
- Prepayment: Paying extra reduces principal faster
- Processing Fees: Not included in EMI calculation
Understanding Amortization
Amortization is the process of gradually paying off a loan through regular payments. Each payment consists of both principal and interest components. In the early years, a larger portion of your payment goes toward interest, with more going toward principal later on. The amortization schedule shows this breakdown for each payment.
Tips for Loan Management
- Consider making additional principal payments to reduce total interest
- Compare loan offers based on APR (Annual Percentage Rate), not just interest rate
- Understand any prepayment penalties before signing a loan agreement
- Review your amortization schedule to see how your loan balance decreases over time
- Consider refinancing if interest rates drop significantly