Loan details
Monthly payment (EMI)
Amortization schedule
| Year | Payment | Principal | Interest | Balance |
|---|
This calculator is for general planning and education only - it is not financial advice. Real loan offers may include fees, insurance, taxes, and different compounding, so always confirm figures with your lender before deciding.
Not just the monthly payment - the total interest and total amount payable over the whole loan, so a "low" rate can't hide a big number.
Every payment split into principal and interest, by year or by month, with the remaining balance after each one.
Your loan amounts stay in your browser. Nothing is uploaded, logged, or tracked, and it works offline.
How EMI is calculated
Every fixed-rate installment loan uses the same formula. Your EMI (Equated Monthly Installment) is the constant amount that, paid each month, clears both the principal and the interest exactly at the end of the term:
EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1)
where P is the loan amount (principal), r is the monthly interest rate - the annual rate divided by 12 and by 100 - and n is the total number of monthly payments. If the rate is 0%, this collapses to simply P ÷ n.
The payment stays the same every month, but its makeup shifts. Interest is charged on the balance still owed, which is largest at the start - so early payments are mostly interest and barely dent the principal. As the balance falls, the interest portion shrinks and more of each payment attacks the principal. That is exactly what the amortization schedule above shows, row by row.
How to pay less interest
- Shorten the term. A 15-year loan costs much more per month than a 30-year one but a fraction of the total interest, because you owe the balance for half as long.
- Lower the rate. Even a small rate cut compounds over hundreds of payments. Shopping lenders or improving your credit score is often worth more than a bigger down payment.
- Make extra principal payments. Any amount above the EMI goes straight against the balance, so all future interest on that amount disappears. Paying one extra installment a year can shave years off a long loan.
- Borrow less. A larger down payment reduces the principal the formula is applied to, cutting both the payment and the total interest.
Frequently asked questions
What is EMI and how is it calculated?
EMI stands for Equated Monthly Installment - the fixed amount you pay every month until a loan is repaid. It is calculated with the formula EMI = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the principal, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the number of monthly payments. Each installment is part interest and part principal; early payments are mostly interest, later ones mostly principal.
What is an amortization schedule?
An amortization schedule lists every payment over the life of the loan and splits it into interest and principal, showing the remaining balance after each one. It makes clear how slowly the balance drops at first - because interest is charged on a larger balance early on - and how the principal portion grows over time until the loan reaches zero.
Does a longer loan term reduce the cost?
A longer term lowers the monthly payment but increases the total interest you pay, because you owe the balance for more months. A shorter term costs more each month but far less overall. The calculator shows both the monthly EMI and the total interest so you can weigh the trade-off directly.
Is this the same as a mortgage or car loan calculator?
Yes. The EMI math is identical for any fixed-rate installment loan - home loans, car loans, personal loans, and student loans all use the same formula. Just enter that loan's amount, interest rate, and term. Note that real quotes may add fees, insurance, or taxes that a pure EMI figure does not include.
What interest rate should I enter?
Enter the annual nominal interest rate (APR excluding fees) that the lender quotes. The calculator converts it to a monthly rate internally. If a rate is quoted as a monthly figure, multiply it by 12 first, or check with the lender which basis they mean.
Is my financial information kept private?
Yes. Every calculation happens in your browser - the amounts you type are never sent to a server, logged, or tracked, and the page works offline once loaded. This is a calculator for planning, not financial advice; confirm any figures with your lender before making a decision.