How to use this EMI Calculator?
- Use the slider and select the loan amount.
- You then select the loan tenure in months.
- Move the slider and select the interest rate.
- The calculator shows you the EMI Payable, Total Interest, and the Total Payable Amount.
- Recalculate your EMI anytime by changing the input sliders.
- EMI will be calculated instantly when you move the sliders.
The ClearTax Personal Loan EMI Calculator is a handy tool that calculates the monthly amount payable to the lender (bank). To calculate the EMI applicable to your loan amount, you must use the sliders and adjust the values for the Principal Amount (P), Time Duration (N), and Rate of Interest (R). Follow these steps to calculate your EMI Amount:
FAQs on Personal Loan EMI Calculator
How can I use the EMI calculator to find the best loan for my needs?An EMI calculator can be used to compare loans from different banks, as each bank charges its interest rate. The tenure may also vary from bank to bank. You must enter the borrowed amount, interest rate, and the tenure in the EMI calculator. You will be able to find the best bank for the personal loan, with the least EMI that matches your budget.
What do secured loans and unsecured loans mean?A secured loan is secured against an asset, usually property. An unsecured loan is one where there is no asset offered as security. The best example of an ‘unsecured’ loan is the personal loan.
How long can I take to repay my personal loan?The time allowed to repay your personal loan ranges from over 12 to 60 months. However, the vital thing to keep in mind is the time taken to repay the loan will directly affect the EMI. If you want to lower the EMIs, then you must take the loan for a longer period. But remember, a longer tenure of repayment means you will have to pay more interest.
Can I prepay my personal loan?Personal loan outstanding amounts can be paid either in full pre-payment mode or in partial pre-payment mode. For a full prepayment, the entire loan amount can be settled in one single payment. For partial prepayment of your outstanding amount, you pay a part of the principal.
What is a credit report, and how important is it for the application of a loan?A credit report is used by financial institutions to access the capacity to repay a loan. It considers the details of your previous borrowing, how much outstanding credit you have, as well as information on how many missed or late payments you may have made.
Does the Personal Loan EMI Calculator use the flat balance or reducing balance interest calculation method?In the flat balance method, the interest you pay on the personal loan would be calculated on the total loan amount over the entire duration of the loan. In the reducing balance method, the interest would be calculated for each successive month. The principal on which the interest would be calculated reduces with time as the duration of the repayment progresses. The online personal loan EMI calculator uses the reducing balance calculation method to calculate the personal loan EMI.