Table of Contents
- 1 About HDFC Personal Loan Calculator
- 1.1 What is Equated Monthly Installment (EMI)?
- 1.2 Formula to Calculate Your EMI
- 1.3 Personal loan EMI is Calculated on the Basis Of
- 1.4 Benefits of using Loan EMI Calculator
- 1.5 EMI Calculator for Personal Loan
- 1.6 Use of Loan EMI Calculator in Personal Loan Balance Transfer Facility
- 1.7 How Can the HDFC Personal Loan EMI Calculator Help People Working from Home?
About HDFC Personal Loan Calculator
If we talk about HDFC personal loan, how an EMI calculator be missed? It is one such important tool that helps you calculate your monthly installments and take a rational decision. Well, if you are someone who is interested in taking a personal loan from HDFC, but have no idea how to calculate your personal loan EMIs, you are at the right place!
|Monthly Instalment (EMI)|
|Total Interest Amount|
|Total Amount (Principal + Interest)|
What is Equated Monthly Installment (EMI)?
An EMI is a combination of the principal loan amount and interest amount payable to banks/NBFCs every month until the loan amount is paid off in full. The ideal EMI for your personal loan should be 20%-30% of your monthly income. Ensure your monthly installments are pocket-friendly so that you can easily repay the loan. To make it happen, use a personal loan EMI Calculator that helps you know the accurate calculations of your monthly installments.
Formula to Calculate Your EMI
To calculate your EMI, you need to use the below formula:
E = P . r . (1+r)^n/((1+r)^n – 1)
P=Principal Loan Amount
r=Monthly Interest Rate
n=Monthly Loan Tenure
Well, you don’t have to bother as there is no need to use this complex formula to calculate your monthly installments. To save your time, you can use the EMI Calculator, which is an effective tool to know the monthly installments and Interest Outgo.
Personal loan EMI Calculator is one such magical device that enables you to calculate your EMIs, interest outgo and total amount payable on a loan instantly. To use the loan calculator, you just need to enter your –
- Loan Amount
- Interest Rate
- Loan Tenure
By feeding these credential into the device, it will churn out the results for you in the least time frame. Let’s consider an example below to understand it better.
Ashish Mishra is willing to take a personal loan of INR 5 lakh from HDFC Bank for a tenure of 5 years at an interest rate of 11.25% per annum. What would be his EMIs and interest outgo in the future? Just take a look at the table below to know about the same.
Table Showing EMI, Interest Outgo, and Total Repayment Amount
|Loan Amount||Interest Rate||Tenure||Monthly Instalment||Total Interest Amount||Total Amount|
|₹ 5,00,000||11.25%||1||₹ 44,249||₹ 30,990||₹ 5,30,990|
|₹ 5,00,000||11.25%||2||₹ 23,362||₹ 60,688||₹ 5,60,688|
|₹ 5,00,000||11.25%||3||₹ 16,429||₹ 91,430||₹ 5,91,430|
|₹ 5,00,000||11.25%||4||₹ 12,984||₹ 1,23,210||₹ 6,23,210|
|₹ 5,00,000||11.25%||5||₹ 10,934||₹ 1,56,019||₹ 6,56,019|
EMI, Total Interest Outgo, Total Repayment (Interest + Principal)
|1||₹ 78,942||₹ 52,262||₹ 4,21,057|
|2||₹ 88,295||₹ 42,908||₹ 3,32,762|
|3||₹ 98,757||₹ 32,447||₹ 2,34,005|
|4||₹ 1,10,458||₹ 20,745||₹ 1,23,546|
|5||₹ 1,23,648||₹ 7657||₹ 0|
Personal loan EMI is Calculated on the Basis Of
- Loan Amount – Loan amount plays a crucial role in calculating your EMI. How much loan amount you are willing to take will give its share in your monthly EMI.
- Interest Rates – How much interest rate a bank is offering you for a personal loan is another deciding factor while calculating your EMI. Many banks/NBFCs provide you with fixed or reducing interest rates for the personal loan, on the basis of which your EMI amount varies.
- Tenure – Tenure is another deciding factor when it comes to calculating the EMI. For how long you are taking the loan plays a crucial role in deciding your personal loan EMI.
Benefits of using Loan EMI Calculator
- Repayment Estimation – The HDFC personal loan EMI calculator can help estimate your repayment. On filling in a few details, you get the EMI amount, interest outgo, and total amount payable. Based on these results, you can estimate whether this repayment amount fits your monthly income. Using this tool, you can manage your finances accordingly before choosing the loan amount.
- Accuracy – As there is no manual calculation is involved, this device gives you the accurate results. You just need to feed the details, it will give you the exact calculations.
- Time-Saving – This smart tool fetches the results for you in seconds. The moment you enter the data into the device, within a few seconds, it will show the results, saving a lot of time and effort.
- Endlessly Adjustable – The best thing about this tool is the fact that you can use it for many times and most importantly can adjust the same according to your needs. You can change the values anytime and the device will automatically adjust to the same.
EMI Calculator for Personal Loan
Knowing the exact calculations of personal loan EMI is no more a hassle as an EMI Calculator is there to help. This time-saving tool allows you to know the exact calculations related to your EMI, Interest Outgo and Total Amount Payable in a hassle-free manner. You simply need to feed -Loan Amount, Tenure and Interest Rate into the tool and it gives the results within a few seconds. It is easy to use and available online 24×7 for you.
This is the reason why many loan seekers prefer to use this online tool so that they could enjoy a smooth loan journey. It not only helps you know the exact and accurate EMI calculations but also allows you understand the dynamics of HDFC Personal Loans.
Use of Loan EMI Calculator in Personal Loan Balance Transfer Facility
HDFC personal loans come with an affordable interest rate that ranges from 10.40% - 17.00% per annum. So, if you are struggling to repay your existing personal loan due to higher interest rates charged by another lender, you can transfer your outstanding balance to HDFC Bank at a lower interest rate with the personal loan balance transfer facility. This will help you reduce both the EMI amount and interest outgo.
You must be pondering about the role of HDFC personal loan EMI calculator in this balance transfer facility. Well, with this tool, you can estimate correctly about the savings on your personal loan when going for a balance transfer. Let us illustrate it to you!
Example – Suppose a person has a 5-year personal loan of INR 10 lakh at an interest rate of 18.50% per annum. But after 24 months into his loan tenure, he wants to transfer his outstanding balance to HDFC Bank at a lower interest rate of 12.50% per annum. So, how much will he save through this process? Let’s find out the same in the below table.
|Existing Loan Amount||INR 10 lakh|
|Interest Rate||18.50% per annum|
|Tenure||5 years (60 months)|
|EMI at the current interest rate of 18.50% per annum||INR 25,666|
|Estimated Interest Outgo at 18.50% per annum||INR 5,39,973|
|Interest Paid till now ( 2 Years )||INR 3,21,033|
|Outstanding Balance at the end of 2 years||INR 7,05,043|
|EMI at the new interest rate of 12.50% per annum||INR 23,586|
|Interest Outgo at the new interest rate of 12.50% per annum||INR 1,44,062|
|Interest Paid till now + Interest for the remaining 3 years||INR 4,65,095 (3,21,033 + 1,44,062)|
|Estimated EMI Saving||INR 2,080 ( 25,666 - 23,586)|
|Estimated Interest Savings||INR 74,898 (5,39,973 - 4,65,095)|
How Can the HDFC Personal Loan EMI Calculator Help People Working from Home?
Even as the lockdown restrictions are over, many companies are still allowing their employees to Work from Home (WFH). This means a constant addition to their savings. With all these savings, you can plan your goals like travel, wedding even better. Even for emergency purposes, you could be a step ahead compared to previous times. The savings would help reduce the loan amount you need, which will further reduce your EMI and interest payments. You could check the same using the HDFC Personal Loan EMI Calculator.