EMI Calculator
Use the free Toolslelo EMI Calculator to calculate your monthly loan payment quickly and easily. Enter your loan amount, annual interest rate, and loan tenure to calculate your estimated monthly EMI.
The calculator also shows the total amount payable and the total interest you will pay over the selected loan period.
Calculate Your Loan EMI
How to Use the EMI Calculator
- Enter the amount you want to borrow.
- Enter the annual interest rate charged on the loan.
- Enter the loan tenure in years.
- Click Calculate EMI.
- Your estimated monthly EMI, total interest and total payment will be displayed.
What Is EMI?
EMI stands for Equated Monthly Instalment. It is the regular amount a borrower pays towards a loan each month. An EMI generally consists of both principal and interest components.
How Is EMI Calculated?
For a standard reducing-balance loan, EMI is calculated using the loan principal, monthly interest rate and total number of monthly payments.
The formula used by this calculator is:
EMI = P × r × (1 + r)n ÷ [(1 + r)n − 1]
Here, P is the principal loan amount, r is the monthly interest rate, and n is the total number of monthly payments.
Frequently Asked Questions
What does EMI mean?
EMI means Equated Monthly Instalment. It is the regular payment made by a borrower towards a loan.
Does a higher interest rate increase EMI?
Yes. Keeping the loan amount and tenure the same, a higher interest rate generally results in a higher EMI and greater total interest.
Does a longer loan tenure reduce EMI?
A longer tenure generally reduces the monthly EMI, but it can increase the total interest paid over the life of the loan.
Is this EMI Calculator free?
Yes. The Toolslelo EMI Calculator is free to use online.
Note: This calculator provides an estimate based on the values entered. Actual loan payments can vary depending on the lender, fees, taxes, repayment structure and other applicable terms.
