EMI Calculator
Calculate your Equated Monthly Installments (EMI) for home loans, car loans, and personal loans. Get detailed breakdown of principal and interest payments.
EMI Calculator
Understanding EMI
EMI (Equated Monthly Installment) is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. EMIs are used to pay off both interest and principal each month so that over a specified number of years, the loan is paid off in full.
EMI Formula
EMI = [P × R × (1+R)^N] / [(1+R)^N - 1]
Where:
P = Principal loan amount
R = Monthly interest rate (Annual rate ÷ 12)
N = Number of monthly installments (Years × 12)
P = Principal loan amount
R = Monthly interest rate (Annual rate ÷ 12)
N = Number of monthly installments (Years × 12)
Factors Affecting EMI
- Loan Amount: Higher loan amount means higher EMI
- Interest Rate: Higher interest rate increases EMI
- Loan Tenure: Longer tenure reduces EMI but increases total interest