How to use Loan EMI Calculator
- Choose your currency and enter the amount you want to borrow.
- Enter the yearly interest or profit rate the bank quotes.
- Enter the term in years. The instalment updates as you type.
- Check the chart and the schedule, by year or by month, and download it as a CSV file.
Why use Loan EMI Calculator
Monthly instalment (EMI)
The fixed payment on a reducing-balance loan, the method most banks use.
Total interest
See the full cost of borrowing next to the amount you borrow.
Schedule and chart
Interest, principal and the remaining balance by year or by month, with a chart and a CSV download.
Flat or reducing rate
For flat-rate offers, see the real yearly rate (APR) they equal, and switch the wording to profit for Islamic finance.
About this tool
EMI stands for equated monthly instalment: the same payment every month until the loan is repaid. Early payments are mostly interest, because interest is charged on the balance still owed. As the balance falls, more of each payment reduces the loan, which is why paying extra early saves the most.
Islamic car and home finance usually quotes a profit rate instead of an interest rate. When the schedule is fixed in the same way, the monthly figure works out the same, so you can enter the profit rate here. Real offers can include processing fees, insurance or takaful, so compare the total cost your bank quotes.
Frequently asked questions
How is the EMI calculated?
EMI = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), where P is the amount borrowed, r is the monthly rate (the yearly rate ÷ 12 ÷ 100) and n is the number of months.
Does a longer term cost more?
Usually yes. A longer term lowers the monthly payment, but you pay interest for longer, so the total interest goes up.
Can I use it for Islamic car or home finance?
Yes, for an estimate. Enter the yearly profit rate, then check the final schedule with your bank, which may use a different structure or add fees.
What about a 0% instalment plan?
Enter 0 as the rate. The instalment is then simply the amount divided by the number of months.
Can it work out a flat rate loan?
Yes. Choose "Flat rate" to see the instalment and the real yearly rate (APR). A flat rate charges interest on the original amount for the whole term, so the same quoted rate costs much more than on a reducing balance.