Borrowing

EMI calculator

The monthly payment on a loan, and the total interest.

%
years

Monthly EMI

₹43,391

about ₹43,391

48% of that is principal.

Amount borrowed
₹50,00,000
Total interest paid
₹54,13,879
Total you repay
₹1,04,13,879
This is arithmetic, not a forecast. The result applies numbers you chose. Real returns vary year to year, can be negative, and are never guaranteed. Unless stated otherwise the figure is before inflation and before tax.

How this calculation works

The standard EMI formula spreads principal and interest into equal monthly payments. Early payments are mostly interest, and the balance shifts towards principal as the loan runs down.

What it leaves out

Processing fees, insurance bundled with the loan, and any prepayment you make. It also assumes the rate never changes, which is not true of most floating rate home loans in India.

Understanding the thing itself matters more than the number: Emergency fund.

Common questions

Why is the total interest so high?
Because of the term. On a twenty year loan the interest often approaches the amount borrowed. Shortening the term raises the monthly payment and cuts the total interest sharply, which is worth testing here.
Should I prepay my loan or invest?
It depends mostly on the rate. Above about 12% clearing the debt usually wins, because it is a guaranteed return. For a home loan at 8% to 9% the comparison is genuinely close.
Does prepaying early make more difference than later?
Yes, substantially. Early instalments are mostly interest, so a prepayment in the first years removes far more total interest than the same amount paid near the end of the term.