EMI Calculator

An EMI is a fixed monthly payment that covers both interest and principal on a reducing-balance loan. The instalment never changes, but its composition does: at the start almost all of it is interest, and only towards the end is most of it actually paying down what you borrowed.

That is the figure most worth seeing, and it is the one lenders show least prominently. On a twenty-year home loan at typical rates, the total interest can approach or exceed the amount borrowed — so the headline EMI looks manageable while the total cost is close to double the sticker price. This calculator shows the total interest and its share of everything you repay, alongside a year-by-year table of how the balance actually falls.

The formula used is the standard one every bank applies: the annual rate divided by twelve gives the monthly rate, and the instalment is derived from that. It is worth knowing that this is a convention rather than exact compounding maths — using a true effective monthly rate would give a slightly different figure, and would disagree with your lender's own number.

Try shortening the term. A loan taken over fifteen years instead of twenty raises the monthly payment noticeably but cuts the total interest far more than most people expect, and the two sliders here make that trade visible in a way a lender's brochure does not.

Everything is calculated in your browser. Nothing about your loan is sent anywhere, and these figures are an estimate for comparison — your lender's offer will include processing fees, insurance and possibly a different compounding convention.