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🏦 Loans · 2026

Loan EMI Calculator

Calculate your monthly EMI for any loan — home loan, car loan, or personal loan. See total interest, total payment, and a full year-by-year amortization schedule.

🏦 Loan EMI Calculator
Loan Details
$
Home loan, car, personal loan
Home loan avg: 6–7.5% (2026)
$
Reduces principal borrowed
Optional
$
$
$
Monthly EMI
per month
Total Interest
over loan life
Total Payment
principal + interest
📋 Summary
Loan amount
Rate / Tenure
Monthly EMI
Total interest
Total payment
🔢 EMI Formula
EMI = P × r × (1+r)^n
        / ((1+r)^n − 1)

P = Principal
r = Monthly rate
n = Number of months

Loan Calculator — Monthly Payment, Total Interest & Amortization

Every loan — personal, auto, home, or student — works on the same fundamental math: a principal amount borrowed, an annual interest rate, and a repayment period in months. This calculator gives you the complete picture: exact monthly payment, total interest paid over the life of the loan, and a month-by-month amortization breakdown showing how each payment splits between principal and interest.

How Is a Loan Monthly Payment Calculated?

The formula is: Payment = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the loan principal, r is the monthly interest rate (annual APR ÷ 12), and n is the number of months. For a $25,000 loan at 7% APR over 60 months: monthly rate = 0.00583, and the monthly payment = $495. Over 60 months, total paid = $29,702 — meaning $4,702 in interest on a $25,000 loan.

How Loan Term Affects Total Cost

Stretching a loan over more months lowers your monthly payment but dramatically increases total interest. On a $30,000 loan at 7%: a 36-month loan has a $927/month payment and costs $3,300 in interest. A 72-month loan drops to $513/month but costs $6,900 in interest — more than double. Always compare the total cost, not just the monthly payment. Use the amortization table below the results to see exactly how interest front-loads early payments.

Early Payoff — How Much Does It Save?

Making even one extra payment per year can shave months off your loan and save hundreds in interest. On a 60-month loan, one extra payment per year typically shortens the term by 5–6 months. Making bi-weekly payments (half your monthly payment every two weeks) results in 26 half-payments per year — effectively 13 full payments instead of 12 — saving significant interest on longer-term loans.

Frequently Asked Questions

What is EMI?+
EMI (Equated Monthly Installment) is the fixed monthly payment you make to repay a loan. Each EMI has two components: an interest portion and a principal portion. In the early months, most of the EMI goes toward interest. Over time, the principal portion grows as the outstanding balance decreases.
How is loan EMI calculated?+
EMI = P × r × (1+r)^n / ((1+r)^n − 1). P = Principal, r = monthly interest rate (APR ÷ 12 ÷ 100), n = total months. For example, a $300,000 loan at 6.5% for 30 years: r = 0.005417, n = 360, EMI ≈ $1,896/month.
How can I reduce my EMI?+
You can reduce EMI by: (1) increasing loan tenure — spreads payments over more months, (2) making a larger down payment — reduces the principal, (3) negotiating a lower interest rate, or (4) refinancing when rates drop. A larger down payment also means less total interest paid.
What is an amortization schedule?+
An amortization schedule shows how each EMI payment is split between interest and principal month by month. In the first few years, most of the EMI covers interest. Gradually, as the balance falls, the interest portion shrinks and the principal portion grows. The table above shows this year by year.

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