Personal Loan EMI Calculator
Calculate EMI, net disbursal, effective interest rate, and analyze prepayment savings for personal loans in India.
Loan Details
🏦 Calculate Your Personal Loan EMI the Smart Way
Planning to take a personal loan in India? Our Personal Loan EMI Calculator helps you calculate not just your monthly EMI, but also the true cost of your loan, amount credited to your bank, and how much you can save by prepaying early.
💡 Why This Calculator is Different: Unlike basic EMI calculators, this tool shows the real picture — including processing fees, GST, foreclosure charges, and affordability checks — so you don't face surprises later.
📖 How Personal Loan EMI Calculator Works
Our calculator is designed to give you complete clarity before you borrow. Here's what you can do:
🔹 Quick Mode
Best for a fast EMI estimate
- • Enter loan amount, rate, tenure
- • Get instant EMI calculation
- • See total interest & payment
🔸 Advanced Mode
Best for complete loan analysis
- • Processing fee + GST impact
- • Prepayment & foreclosure simulation
- • Missed EMI cost estimator
- • Affordability check & offer comparison
✨ What This Calculator Helps You With
Most calculators stop at EMI. This one goes further 👇
✔ Monthly EMI Calculation
Instantly calculate EMI based on loan amount, interest rate, and tenure.
✔ Net Amount You Actually Receive
Banks deduct processing fee + GST upfront. We show the actual money credited to your account.
✔ True Interest Cost (Effective Rate)
Know your effective annual cost after considering fees — not just the advertised rate.
✔ Prepayment & Foreclosure Savings
See if part-payments or early closure will save interest or cost you more due to charges.
✔ Missed EMI Cost Estimation
Understand hidden costs of delayed payments: penal interest, bounce charges, late fees.
✔ Compare Multiple Loan Offers
Compare 2-3 offers side-by-side to choose lowest EMI or best value after fees.
💰 Why Net Disbursal Matters (Most People Ignore This)
Loan sanctioned: ₹5,00,000
Processing fee (1%): ₹5,000
GST @18%: ₹900
👉 Amount credited = ₹4,94,100
⚠️ Important: Most EMI calculators ignore this — but your EMI is calculated on ₹5,00,000, not on what you actually receive. Our calculator shows this clearly.
🤔 Is Prepaying a Personal Loan Always Beneficial?
Not always. Prepayment may:
✅ Save interest significantly
❌ Attract foreclosure or prepayment charges + GST
Our calculator shows: Interest saved vs Charges paid = Net benefit (or loss)
So you can decide with data, not assumptions.
📊 What Is a Safe EMI-to-Income Ratio?
A general guideline for personal loan affordability:
This tool helps you assess affordability before committing to long EMIs.
📐 Personal Loan Calculation Formulas
1. EMI (Equated Monthly Installment) Formula
EMI = [P × R × (1+R)^N] / [(1+R)^N - 1]
Where:
- P = Principal (loan amount)
- R = Monthly interest rate (Annual Rate / 12 / 100)
- N = Tenure in months
Example: ₹5,00,000 loan at 12% for 3 years
R = 12/12/100 = 0.01, N = 36 months
EMI = ₹16,607 per month
2. Effective Annual Rate (IRR-based)
IRR = Rate where NPV of all cash flows = 0
Effective Rate = (1 + IRR_monthly)^12 - 1
Why it matters: When you pay fees upfront but EMI is on full amount, your true cost is higher than the stated rate.
Example: 12% loan with 2% processing fee
Effective Rate ≈ 13.5% - 14%
3. Interest Saved on Prepayment
Interest Saved = Original Interest - New Interest - Prepayment Charges
Two strategies:
- Reduce Tenure: Same EMI, pay off faster
- Reduce EMI: Same tenure, lower monthly burden
❓ Frequently Asked Questions
What is a personal loan EMI?▼
EMI (Equated Monthly Installment) is the fixed amount you pay every month to repay your loan, including both principal and interest components.
Does this calculator include processing fee and GST?▼
Yes. In Advanced mode, you can enter processing fee (percentage or flat) and GST rate. The calculator shows the net amount credited to your account after these deductions.
Can I check prepayment savings?▼
Yes. You can simulate part-payments at any month and see interest saved vs any prepayment charges. Choose between "Reduce Tenure" or "Reduce EMI" strategies.
How accurate is this calculator?▼
This calculator uses standard RBI-aligned EMI formulas, calculates real cash flows, and includes India-specific charges like GST. Actual lender policies may vary — always confirm final terms with your bank or NBFC.
Is this calculator free?▼
Yes. 100% free and no sign-up required. Use it as many times as you need.
Is this applicable only for India?▼
Yes. This calculator is built specifically for Indian personal loans, including India-specific features like GST on processing fees and RBI-compliant calculations.
💡 Smart Borrowing Tips
✅ Do This
- • Compare at least 3 offers before deciding
- • Check effective rate, not just advertised rate
- • Keep EMI below 25% of income
- • Consider prepayment if no charges
- • Read foreclosure terms before signing
❌ Avoid This
- • Borrowing more than you need
- • Ignoring processing fee impact
- • Missing EMI payments (costly!)
- • Not checking prepayment charges
- • Choosing longest tenure just for low EMI
👥 Who Should Use This Calculator?
Salaried Professionals
Planning a personal loan for any purpose
Offer Comparers
Comparing multiple bank offers
Existing Borrowers
Considering prepayment or foreclosure
Financial Planners
Anyone who wants clarity before borrowing
Make Smarter Borrowing Decisions
A personal loan is easy to take — but expensive if not planned well.