Compare Loans Calculator

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🔍 Compare Loans Calculator – Find the Best Loan for You

Choosing a loan isn't just about the lowest EMI. A loan that looks cheap today can cost you much more in the long run.

Our Compare Loans Calculator helps you compare multiple loan offers side-by-side and clearly shows which loan is actually better for your situation — not just on paper, but in real life.

💡 What is a Loan Comparison Calculator?

A Loan Comparison Calculator lets you compare two or more loan offers at once based on multiple critical factors:

💰Monthly EMI

How much you pay every month

📊Total Interest Payable

How much extra you pay over the loan life

💸Total Outflow

Total money paid: Principal + Interest + Fees

Fees & Hidden Costs

Processing fees, foreclosure charges

⚠️Floating Rate Risk

Impact of interest rate increases

🔓Flexibility

Prepayment & foreclosure options

Instead of checking multiple bank websites or guessing based on EMI alone, you get one clear comparison view with intelligent scoring and recommendations.

⚖️ Why EMI Alone Is Not Enough

⚠️ Most people make the mistake of choosing a loan only because it has a lower EMI.

But EMI does NOT show the complete picture!

Higher Interest Over Long Tenure

A loan with ₹20,000 EMI for 20 years can cost more than ₹25,000 EMI for 10 years

Expensive Processing Fees

Some banks charge 2-3% processing fee (₹60,000 on a ₹30L loan!)

Floating Rate EMI Increase Risk

Your ₹40,000 EMI can become ₹48,000 if rates increase by 2%

Foreclosure Penalties

Want to close the loan early? Some banks charge 2-4% penalty

✅ Our comparison calculator fixes this by showing the full cost of the loan lifecycle.

📖 What Makes Our Loan Comparison Calculator Different?

Unlike basic tools, this calculator is built for real decision-making. Here's what makes it special:

⚖️Compare 2 to 4 Loan Offers at Once

  • Side-by-side visual comparison
  • Works for home loans, car loans, personal loans, education loans, and more
  • Each loan gets a letter grade (A, B, C, D) for easy reference

🎯Holding Period Cost Analysis (VERY IMPORTANT)

Reality Check: Most borrowers don't keep a loan for 20–30 years. People refinance, sell property, or prepay early.

We show you:

  • Total cost if you close the loan after 5, 7, or 10 years
  • Outstanding balance at that time
  • Total cash paid till exit
  • Which loan is cheaper for YOUR actual holding period

Example: Loan A might be cheaper over 20 years, but Loan B is better if you plan to sell in 7 years. This feature alone can change which loan is "best"!

📈Fixed vs Floating Rate Risk Comparison

Floating rate loans have uncertainty. Our stress testing shows:

  • How EMI changes under +1%, +2%, +3% rate increases
  • Total extra cost in worst-case scenarios
  • Whether fixed-rate "premium" is worth the safety
  • Risk score based on your risk tolerance setting

Pro Tip: If you have low risk tolerance or unstable income, fixed-rate loans score higher even if they cost slightly more upfront.

💸Fees, Insurance & Hidden Charges Included

Many calculators ignore these costs. We include:

  • Processing fees: 0.5% to 3% of loan amount
  • Insurance cost: Life, property, or loan protection insurance
  • Foreclosure penalties: Charges if you close the loan early
  • Part-prepayment charges: Some banks charge for extra payments

These "small" fees can add ₹50,000 to ₹2 lakhs to your total cost!

🏆Smart Loan Scoring System

Each loan gets a score (0-100) based on:

💰 Cost Score

Total outflow compared to others

📊 EMI Score

Monthly affordability

⚠️ Risk Score

Floating rate risk + tenure safety

🔓 Flexibility Score

Prepayment & foreclosure terms

🏆 Overall Score

Weighted average showing the BEST overall deal for you

So you don't just see numbers — you see clear recommendations.

📊 What You'll See in the Results

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Side-by-Side Comparison Table

All metrics in one place, easy to scan

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Lowest EMI Loan

Best for monthly cash flow

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Lowest Total Cost Loan

Minimizes total interest paid

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Safest Loan (Low Risk)

Best for risk-averse borrowers

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Best Overall Loan

Balanced recommendation for your profile

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Visual Graphs

Charts for easy understanding

Everything in one place. No guesswork. Clear winner.

🧠 Who Should Use This Calculator?

This tool is perfect if you are:

Comparing home loan offers from multiple banks

Deciding between fixed vs floating interest

Planning to prepay or close a loan early

Refinancing or transferring a loan

Confused because EMI looks low but total cost looks high

First-time borrower or experienced investor

Whether you're a first-time borrower or an experienced investor, this calculator gives clarity.

🔎 Popular Loan Comparisons You Can Do

🏠 Compare Two Home Loan Offers

📊 Fixed vs Floating Interest

🏦 Bank vs NBFC Loan

⏱️ Short vs Long Tenure

💰 Low EMI vs Low Interest

🔓 Prepayment vs No Prepayment

❓ Frequently Asked Questions

Is the lowest EMI loan always the best?

No. Definitely not.

A lower EMI often means a longer tenure, which dramatically increases total interest paid.

Example: ₹30L loan at 8.5%

  • 20 years: EMI = ₹26,035, Total Interest = ₹32.5L
  • 10 years: EMI = ₹37,179, Total Interest = ₹14.6L

You save ₹17.9 lakhs by paying ₹11,000 more per month!

Key Takeaway: Choose based on your holding period and total cost, not just EMI.

Should I choose fixed or floating interest rate?

It depends on three factors:

1. Your Risk Tolerance

  • Low risk: Choose fixed (predictable EMI)
  • High risk: Choose floating (lower initial rate)

2. Your Income Stability

  • Unstable income: Fixed (can't handle EMI increases)
  • Stable/growing income: Floating (can absorb increases)

3. Interest Rate Outlook

  • Rates expected to rise: Fixed (lock low rate now)
  • Rates expected to fall: Floating (benefit from decreases)

Use our stress testing feature to see how floating rates behave under different scenarios!

Can I compare loans with different tenures and amounts?

Yes, absolutely!

Our calculator handles:

  • Different loan amounts (e.g., ₹25L vs ₹30L)
  • Different interest rates (8% vs 9.5%)
  • Different tenures (10 years vs 20 years)
  • Fixed vs floating rate comparisons

The calculator normalizes everything to show apples-to-apples comparison based on:

  • Total outflow (what you actually pay)
  • Monthly affordability (EMI impact)
  • Cost at your holding period (not full tenure)
Does this calculator include hidden charges?

Yes! We include all major charges:

Processing Fees

Typically 0.5% - 3% of loan amount

Insurance Costs

Life insurance, property insurance, loan protection

Foreclosure Penalties

Charges if you close the loan early

Part-Prepayment Charges

Fees for making extra payments

Pro Tip: These "small" fees can add ₹50,000 to ₹2 lakhs to your total cost. Always ask banks for a complete fee schedule!

What is "holding period" and why does it matter?

Holding period is how long you actually keep the loan before closing it.

Why it matters:

  • Most people don't complete full 20-30 year tenure
  • They sell property, refinance, or win a lottery 😄
  • Average holding period for home loans in India: 7-10 years

Real Example:

  • Loan A: Cheaper over 20 years (₹32L interest)
  • Loan B: Costs more over 20 years (₹35L interest)

BUT if you close in 7 years: Loan B costs ₹12L vs Loan A's ₹14L!

Always compare loans at YOUR expected holding period, not the full tenure!

How do I decide which loan to choose?

Follow this priority framework:

1.

Check Overall Score First

Our weighted score considers all factors

2.

Look at Your Priority

Low EMI? Low total cost? Safety? Flexibility?

3.

Consider Holding Period

Which loan is cheapest at your exit timeline?

4.

Check Risk Tolerance

Can you handle floating rate increases?

The loan with the highest overall score AND matching your priority is usually the best choice!

💎 Expert Tips for Choosing the Best Loan

Negotiate Processing Fees

Banks often waive or reduce processing fees for good credit scores. Ask for a discount before accepting the offer.

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Don't Ignore Flexibility

A loan with zero prepayment penalty is worth paying 0.25% higher rate. You'll save more if you get a bonus or salary hike.

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Plan for 7-10 Year Exit

Even if it's a 20-year loan, compare costs at 7-10 years. This is when most people refinance or sell.

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Fixed Rate "Peace Premium"

Paying 0.5% extra for fixed rate is worth it if you have irregular income or low risk tolerance. Sleep matters!

🚫

Avoid Maximum Tenure Trap

Just because you CAN take 30 years doesn't mean you SHOULD. Shorter tenure = way less interest paid.

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Start Prepaying from Year 1

Even ₹5,000/month extra can reduce your loan by 5-7 years and save lakhs in interest. Start early!

🏦 Why Trust This Loan Comparison Tool?

Transparent Calculations

All formulas are standard financial math

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No Bank Bias

We don't promote any lender

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Indian Loan Structures

Built for India-specific loan types

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Standard Formulas

EMI = [P×R×(1+R)^N] / [(1+R)^N-1]

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Decision-Focused

Helps you decide, not sell loans

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Completely Free

No hidden fees, no registration

This calculator is meant for planning and understanding, not marketing.

✅ Ready to Find Your Best Loan?

Don't rely on EMI alone.

Use our Loan Comparison Calculator to make a smarter, safer, and more cost-effective borrowing decision.

👆 Start Comparing Loans Now