Personal Loan EMI Calculator

A Personal Loan EMI Calculator is an online tool that helps estimate the Equated Monthly Instalment (EMI) payable on a personal loan. By entering the desired loan amount, interest rate, and tenure, you can instantly calculate your monthly repayment obligation without performing manual calculations.

The tool can help you:

• Estimate Monthly EMIs: See how much you'd need to pay each month
• Compare Repayment Options: Evaluate different tenures and interest rates side by side
• Plan Your Budget: Check whether the EMI fits comfortably within your monthly finances
• Review Repayment Structure: View the amortisation schedule and total repayment amount

You can also compare different personal loan interest rates before finalising a borrowing decision.

The personal loan EMI is calculated with the help of the simple formula:

EMI = P x R x (1+R)^N / [(1+R)^N-1] 

Here,

• EMI = Equated Monthly Instalment
• P = Principal Loan Amount
• R = Interest Rate
• N = Loan Tenure

Let’s understand with an example. 

Step 1: Assume that you took a loan of ₹1,00,000 at an interest rate of 10% p.a. The tenure of the loan is set at 12 months. In this case:

• P = ₹1,00,000

• R = 10% p.a.

• N = 12 months

Step 2: Since the interest rate is on a per annum basis, let’s first convert it to a per-month basis.

Step 3: Also, let’s convert it from a percentage to a numeric value. For this, the following formula is used:

        Monthly Interest Rate = [(Annual Interest Rate / 12) / 100]

        Monthly Interest Rate = [(10 / 12) / 100] = 0.008333

Step 4: Next, let’s substitute the values into the formula.

        EMI = {P x R x (1 + R)^N / [(1 + R)^N - 1]}

        EMI = {100000 x 0.008333 x (1 + 0.008333)^12 / [(1 + 0.008333)^12 - 1]}

Step 5: Now, let’s simplify and solve this

        EMI = {100000 x 0.008333 x 1.104713 / [1.104713 - 1]}

        EMI = {833.3 x 1.104713 / 1.104713}

Step 6: On solving, we get,

        EMI = ₹8791.15

Manually calculating the personal loan EMI can be tedious and time-consuming. Additionally, it is prone to errors, which may impact your financial planning. Thus, using a personal loan EMI calculator may be much more efficient.

Step 1: You need to enter inputs in 3 fields in the personal loan EMI calculator, which are principal amount, interest rate, and tenure.

Step 2: Once you enter this information, you will immediately get the EMI amount. 

Step 3: You can download the amortisation schedule to check your loan repayment details.

You can adjust the inputs to compare EMIs across different tenures and interest rates to find the most suitable option.

A personal loan EMI calculator helps you estimate and manage your instalments efficiently. Keep these in mind while using it:

• Verify Your Inputs: Double-check the loan amount, tenure, and interest rate for accurate estimates
• Compare Scenarios: Try different combinations of loan amount and tenure before deciding
• Test Tenures: A longer or shorter tenure changes both your EMI and total repayment cost
• Assess Affordability: Make sure the EMI fits comfortably within your monthly budget
• Check the Amortisation Schedule: See how much of each EMI goes towards principal vs. interest

The personal loan EMI calculator available on Bajaj Markets offers a simple way to estimate loan repayments before applying.

Real-time Comparison

Enter your preferred loan amount to compare loan offers from 20+ lenders available on Bajaj Markets. Compare EMIs, interest costs, and repayment amounts to identify suitable options.

Amortisation Schedule

Track how each EMI contributes towards principal and interest repayment. This can help you plan prepayments, foreclosure, or balance transfers more effectively.

Accurate Calculations

The calculator uses a predefined formula to estimate EMIs, reducing the chance of manual calculation errors.

Time-saving

The tedious, time-consuming process of calculating EMIs manually is completed instantly. The personal loan EMI calculator provides results within seconds.

Free Calculations

You can check multiple loan combinations and repayment scenarios without any additional cost.

Easy Access and Usability

The calculator is available through the Bajaj Markets website or app and can be used anytime. Its simple interface makes understanding EMI details and repayment schedules easier.