Monthly EMI
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Total Interest
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Total Payment
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EMI stands for Equated Monthly Installment. It's a fixed amount you pay every month that combines both a portion of the principal you borrowed and the interest charged on the remaining balance. Instead of repaying the loan in one lump sum or in uneven amounts, EMI spreads the repayment evenly across the loan tenure, which makes budgeting predictable.
Lenders calculate interest on the outstanding loan balance, not on the original loan amount. In the early months your outstanding balance is highest, so a larger share of each EMI goes toward interest. As the balance shrinks, more of each fixed EMI shifts toward the principal instead. This pattern is called amortization.
It uses the standard reducing-balance EMI formula: EMI = [P × R × (1+R)N] / [(1+R)N − 1], where P is the principal loan amount, R is the monthly interest rate (your annual rate ÷ 12 ÷ 100), and N is the number of monthly installments. If you enter your tenure in years, it's converted to months automatically.
That depends on what you and your lender agree to. Most lenders let you choose one of two outcomes: keep the EMI the same and finish the loan sooner, or reduce the EMI amount and keep the original end date. Reducing the tenure usually saves more on total interest, since you owe money for a shorter period.
A longer tenure spreads the same principal over more installments, so each individual EMI drops. But you pay interest for a longer stretch, which raises the total interest paid over the life of the loan. A shorter tenure does the opposite — a higher EMI, but noticeably less interest overall. Try both settings above to compare the trade-off for your own numbers.