How this calculation works
Estimate repayment for a stated loan amount without a property or vehicle price. The month-based term makes short quotations easier to compare. Check whether the quote uses flat or reducing interest before comparing percentages, and include the processing fee to see its contribution to total borrowing cost. The entered principal is the amount owed, which can differ from cash received if a lender deducts a fee at disbursal.
Worked example
This example uses illustrative inputs. Your current result is shown above.
Borrow ₹1,20,000 at 12% annual reducing-balance interest for 12 months with a ₹1,200 separate processing fee. The EMI is ₹10,661.85. Total repayment using unrounded instalments is ₹1,29,142.26, including ₹9,142.26 of interest and fees.
Assumptions and limits
- Repayments occur monthly at a constant rate over the full entered term; the fee is not financed into principal.
- Insurance premiums, broken-period interest, late charges and fee taxes appear only if included in the fee you supply. The result is not an effective APR.
Questions people ask
Does the processing fee change the EMI?
Not here. It increases the final cost total as a separately paid fee. If it is financed, include that financed amount in principal instead.
Why might the amount credited be smaller than the loan?
A lender may deduct upfront costs from disbursal. Use APR to examine the cost relative to net proceeds, since this page calculates the repayment on stated principal.