What is EMI Calculator?
EMI (Equated Monthly Installment) is the amount that an individual pays every month to the banking organization until the amount of loan is fully paid off. EMI consists of the rate of interest plus the principal amount that is to be repaid. The interest and the sum of principal amount are divided by the tenure .i.e. a total number of months in which loan amount have to be repaid. An individual can repay this loan amount every month.
How does the EMI Calculator work?
EMI calculator is simple to use and is fast to perform. Use the EMI calculator as a guide before getting any loan. EMI calculator helps the individual to judge how reasonable a loan can be for him. A person can always use the calculator to get a fast quote on his EMIs. The person can calculate the EMIs of home loan, car loan and
personal loan with EMI calculator. If the consumer is satisfied with the quote, then he can apply accordingly.
1. Enter the loan amount the person wishes to get, in the EMI calculator.
2. Then enter the loan tenure in months.
3. Enter the rate of interest.
4. Click on “Calculate” button.
5. EMI calculator will tell the exact figure of your EMI.
Formula to calculate EMI
The EMI calculator will help the consumer to find out his ability to avail a loan of a particular amount for certain tenure at a fixed rate of interest. The EMI calculator will also give the detailed break-up of the Principal and Interest component paid over each EMI (Amortisation Table)
EMI Formula
E=p.r. (1+r) n/ ((1+r) n-1))
Where
E is EMI
P is Principal Loan Amount
R is the rate of interest calculated every month. (i.e., r = Rate of Annual interest/12/100. If interest rates is 10.5% per annum, then r = 10.5/12/100=0.00875)
Nis loan term / tenure / duration in months.
Types of EMI calculator
The consumer can use one of the following calculators to find out the loan and the amount of EMI which individual will have to pay every month. These calculators will also help the consumer in taking the right decision. These calculator helps to calculate EMIs, tenure period and rate of interest.
1. Home Loan EMI
3. Car Loan EMI
4. Loan Against Property EMI
5. Education Loan EMI
EMI calculator provides these results also:
1. Total amount with the rate of interest.
2. Variable interest rate PA / PM.
3. Yearly interest amount.
4. Total interest amount.
