How is personal loan EMI calculated?
Personal loan EMI = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the loan amount, r is the yearly rate ÷ 12 ÷ 100 and n is the number of months. A ₹5,00,000 personal loan at 12% for 3 years has an EMI of about ₹16,607 and total interest of about ₹97,858. FixDoks's Personal Loan EMI Calculator shows the EMI, interest and full schedule.
Personal Loan EMI Calculator at a glance
| Inputs | Loan amount, interest rate, tenure, optional extra payment |
|---|---|
| Output | Monthly EMI, total interest, amortisation schedule |
| Processing | In your browser; your files are not uploaded |
| Price | Free |
| Works on | Chrome, Edge, Safari and Firefox on Windows, Mac, Android and iPhone |
How to use Personal Loan EMI Calculator
- Enter the loan amount you plan to borrow.
- Enter the yearly interest rate from the lender's offer and the tenure in years or months.
- Read the EMI, total interest and total payment, then check the schedule month by month.
- Try a shorter tenure or an extra monthly payment to see how much interest you save.
Personal loan EMI in practice
A personal loan is usually unsecured: there is no house or car as security, so rates are higher than for home or car loans and tenures are short, often 1 to 5 years. Because the rate is high, small changes in tenure or rate make a big difference to the total cost. The calculator shows the full picture before you accept an offer.
Worked example
| Loan | Rate | Tenure | EMI | Total interest |
|---|---|---|---|---|
| ₹5,00,000 | 12% | 3 years | ₹16,607 | ₹97,858 |
| ₹5,00,000 | 12% | 5 years | ₹11,122 | ₹1,67,333 |
| ₹5,00,000 | 13% | 3 years | ₹16,847 | ₹1,06,491 |
| ₹3,00,000 | 14% | 2 years | ₹14,404 | ₹45,693 |
Going from 3 to 5 years on ₹5 lakh at 12% lowers the EMI by about ₹5,500 but adds almost ₹70,000 of interest.
Flat rate or reducing rate?
Some lenders, shops and apps quote a "flat" rate, where interest is charged on the full original amount for the whole tenure. A flat rate looks much cheaper than it is. A reducing-balance rate charges interest only on what you still owe, which is how this calculator works. If you are quoted a flat rate, ask for the reducing-balance rate (or the annual percentage rate) so that you can compare offers fairly.
Before you borrow
- Look at the total cost. Processing fees and any insurance sold with the loan add to what you pay. Compare offers on total repayment, not on EMI alone.
- Check foreclosure terms. Personal loans often allow early closure only after some EMIs, and some charge a fee. Read the agreement.
- Borrow only what you need. Use the calculator to find an EMI that still leaves room for savings and emergencies.
- Use regulated lenders. Borrow from banks and RBI-regulated lenders, and be careful with apps that ask for access to your contacts or photos.
Results are estimates for planning. Your employer, bank, fund or the tax department may round differently or apply other rules, so check the final figure with them.