About this calculator
EMI stands for equated monthly instalment: the same payment every month until the loan is repaid. It is worked out with EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1), where P is the loan amount, r is the monthly interest rate (yearly rate ÷ 12 ÷ 100) and n is the number of monthly payments.
Early payments are mostly interest because the balance is high; as the balance falls, more of each payment goes to the principal. The figures cover principal and interest only — lenders may add fees or insurance.
Worked example
A loan of 250,000 at 4.5% a year for 5 years has a monthly rate of 0.375% and 60 payments. The EMI is 4,660.75, and the total interest over the loan is about 29,645.
How to use the EMI calculator
- Enter the loan amount.
- Enter the interest rate (per year).
- Enter the loan term.
- Read the result — it updates as you type.
Frequently asked questions
What is the EMI on a 250,000 loan at 4.5% for 5 years?
About 4,660.75 a month, with roughly 29,645 paid in interest over the 60 payments.
Does a longer term lower the total cost?
No. A longer term lowers the monthly payment but usually raises the total interest, because the balance is outstanding for longer.
Does this include fees or insurance?
No. It covers principal and interest only. Check your lender’s fees and any required insurance separately.