How to use Loan / EMI Calculator
- Enter the loan amount, the yearly interest rate and the loan term.
- Results update instantly as you type.
- Scroll down to see the year-by-year repayment schedule.
About this tool
An EMI (equated monthly installment) is the fixed amount you pay every month on a loan. Part of each payment covers interest and the rest reduces the amount you owe. Early on, most of the payment is interest. Near the end, most of it repays the principal.
The formula is 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 months.
Use it to compare offers from different banks. A slightly lower rate or a shorter term can save a large amount of interest. Results are estimates. Your lender's figures may differ slightly because of fees, insurance or how they round.
Questions and answers
Does this work for car, home and personal loans?
Yes. Any loan with a fixed interest rate and equal monthly payments uses the same formula.
What currency does it use?
Any currency. Enter amounts in your own currency (PKR, USD, INR, AED and so on) and the results are in the same currency.
Why is my bank's installment different?
Banks may add processing fees, insurance or use a different day-count method. Ask your bank for the APR and the full schedule to compare accurately.