One of the most important things to consider when taking out a Personal Loan online is your monthly repayment capacity. A Personal Loan EMI calculator allows you to estimate the amount you must pay each month to repay the Loan over a predefined tenure. It considers multiple factors, such as your Loan amount, interest rate, and tenure, and breaks down your payment into the principal and interest portions.

Using a Personal Loan EMI calculator can help you review your current financial commitments and revise them to make them more affordable. It saves the time required for manual calculations and removes the room for human error. You can adjust the inputs and arrive at a suitable option. While the interest rate will depend on your eligibility, the EMI calculator can help you determine the Loan amount and tenure you are comfortable with.

How to use the tool?

Calculating Personal Loan EMIs is crucial to your Loan application process. The PL Loan EMI calculator comes with three tabs that will instantly arrive at your EMI. Follow the steps to find yours:

Choose the Loan amount

Select the amount you wish to apply for, for example, up to Rs. 30 lakh. You will be repaying the principal amount over the Loan tenure. This figure will significantly influence the EMI calculation and the monthly payment amount, so it is essential to input values accurately.

Set the interest rates

Enter the interest rate applicable to your Loan in the EMI calculator. It determines how much interest you will pay over the Loan period and is one of the biggest factors that affect the EMI amount. Please note that while you can try different interest rates to see how they impact the EMI, the final interest rates lie at the sole discretion of the lender.

Select the tenure

Choose the repayment duration over which you must repay the borrowed amount. In the Loan EMI calculator for a Personal Loan, you can select a repayment duration of up to 60 months. The duration affects the EMI amount, with longer durations typically resulting in lower EMIs but increasing the total interest paid.

If you want a Loan of Rs. 1,00,000 for a repayment tenure of three years at an interest rate of 12% per annum, complete the following actions on the calculator:

  • Move the ‘Loan Amount’ slider to 1,00,000
  • Next, select ‘3’ years as ‘Loan Tenure’
  • Finally, shift the slider to 13 in the ‘Rate of Interest’ box

The results will be displayed in the EMI, principal, and interest amounts payable.

 

Advantages

Using a Personal Loan EMI calculator offers various benefits. It lets you adjust the values to ensure maximum affordability or savings. By calculating the potential EMIs, the calculator helps you borrow within your repayment capacity, preventing any strain on your monthly budget. Planning EMIs that fit your budget ensures you pay them on time, reducing the chances of defaulting.