Calculate Equated Monthly Installment (EMI) for Home Loan, Car Loan, Bike Loan, Education loan & Personal Loan with IDFC First loan EMI Calculator and check latest interest rates for your loan.
EMI is the short form of “Equated Monthly Instalment”. EMI includes the repayment of principal as well as interest amount on your loan. EMI primarily depends upon Amount, Rate of interest and Time period. The longer the time period and lesser would be the EMI but you will end up paying more interest to your lender
Fintra has come with a very effective tool so that you can calculate your EMI easily depending on various factors like rate of interest, tenure of the loan, etc. This will help you calculate the loan instalment i.e. EMI towards your Home loan, Car loan, Personal loan or any other loans.
All you need to do is input the following to caclulate your EMI:
The formula used to calculate the EMI is
EMI = [P x R x (1+R) ^N]/[(1+R) ^N-1]
Where P = Loan amount
R = Rate of interest
N = Tenure in number of months
Using the formula, you now have an idea that higher the loan amount or the rate of interest higher the EMI. Well the EMI payments decrease with the increase in tenure. But why to get into this much of hassle when you can do it all much more efficiently using an EMI calculator.
Using an EMI calculator that you can use to calculate the EMI amount which will be your monthly pay-out and then you can plan your budget accordingly. Nowadays you can buy almost everything on EMI. Depending on the loan one chooses there are different EMI calculators like
Some banks offer flexible repayment of loans option in which the EMI’s vary over time. In step-up loans, you pay lower EMI in starting which eventually increases. In cases of step-down loans, you pay higher EMI in starting which decreases over the period.