Highlights
- Know your payments in advance with loan EMI calculator.
- Manage your finances according to the EMI payments.
A loan EMI calculator is very helpful for knowing the payments. This tool helps in managing other finances according to the payment that you are liable to pay to the bank. In the case of home loans, the loan generally runs for 15-20 years and planning the EMIs in advance not only helps in maintaining a regular deduction but also in being prepared accordingly. At Corporation Bank, the rates offered on a home loan are low and there is the facility to choose the tenure as per your comfort. Still, using the calculator helps in making the right choice of the tenure.
How does EMI Calculator work?
The calculator is simple to use and takes into account some of the simple details such as the loan amount, the interest rate and the loan amount. Since EMI is the monthly installment, the calculator converts the annual rate into the monthly rate and then shows the result.
| Loan Amount | |
| Interest Rate | |
| Tenure(Months) | |
| Monthly Instalment (EMI) | |
| Total Interest Amount | |
| Total Amount (Principal + Interest) |
| Year | Principal | Interest | Balance Amount |
|---|
What is the formula used for EMI calculation?
The calculation of the payments is done by the calculator with the below:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
where,
EMI = Equated Monthly Installment
P = Principal Loan Amount
R = Monthly Interest Rate
N = Number of Monthly Installments
How can you calculate your home loan EMI?
Suppose, Ramesh has taken a home loan of INR 20 lakhs and Corporation Bank has offered him 8.75% per annum which is the lowest rate. One of the reasons behind offering him a lower rate is that Ramesh has bought a property in a good location and is also earning a good amount. Below is the payment he is liable to pay if he takes the loan for 10 years.
Table Showing EMI, Interest Outgo, and Total Repayment Amount
| Loan Amount | Interest Rate | Tenure | Monthly Instalment | Total Interest Amount | Total Amount |
|---|---|---|---|---|---|
| ₹ 20,00,000 | 8.75% | 1 | ₹ 1,74,671 | ₹ 96,054 | ₹ 20,96,054 |
| ₹ 20,00,000 | 8.75% | 2 | ₹ 91,140 | ₹ 1,87,366 | ₹ 21,87,366 |
| ₹ 20,00,000 | 8.75% | 3 | ₹ 63,367 | ₹ 2,81,213 | ₹ 22,81,213 |
| ₹ 20,00,000 | 8.75% | 4 | ₹ 49,533 | ₹ 3,77,584 | ₹ 23,77,584 |
| ₹ 20,00,000 | 8.75% | 5 | ₹ 41,274 | ₹ 4,76,468 | ₹ 24,76,468 |
| ₹ 20,00,000 | 8.75% | 6 | ₹ 35,803 | ₹ 5,77,846 | ₹ 25,77,846 |
| ₹ 20,00,000 | 8.75% | 7 | ₹ 31,925 | ₹ 6,81,699 | ₹ 26,81,699 |
| ₹ 20,00,000 | 8.75% | 8 | ₹ 29,042 | ₹ 7,88,001 | ₹ 27,88,001 |
| ₹ 20,00,000 | 8.75% | 9 | ₹ 26,822 | ₹ 8,96,726 | ₹ 28,96,726 |
| ₹ 20,00,000 | 8.75% | 10 | ₹ 25,065 | ₹ 10,07,842 | ₹ 30,07,842 |
EMI, Total Interest Outgo, Total Repayment (Interest + Principal)
| Year | Principal | Interest | Balance Amount |
|---|---|---|---|
| 1 | ₹ 1,30,953 | ₹ 1,69,831 | ₹ 18,69,046 |
| 2 | ₹ 1,42,882 | ₹ 1,57,902 | ₹ 17,26,164 |
| 3 | ₹ 1,55,898 | ₹ 1,44,886 | ₹ 15,70,265 |
| 4 | ₹ 1,70,100 | ₹ 1,30,684 | ₹ 14,00,165 |
| 5 | ₹ 1,85,595 | ₹ 1,15,188 | ₹ 12,14,569 |
| 6 | ₹ 2,02,502 | ₹ 98,281 | ₹ 10,12,066 |
| 7 | ₹ 2,20,949 | ₹ 79,834 | ₹ 7,91,116 |
| 8 | ₹ 2,41,077 | ₹ 59,707 | ₹ 5,50,039 |
| 9 | ₹ 2,63,038 | ₹ 37,746 | ₹ 2,87,000 |
| 10 | ₹ 2,87,181 | ₹ 13,784 | ₹ 0 |