What is EMI?

EMI (Equated Monthly Installment) is the fixed monthly payment you make to repay your loan. It includes both the principal amount and the interest accrued on the loan.

How is EMI Calculated?

EMI is calculated using the formula:

EMI = [P x R x (1+R)^N] / [(1+R)^N - 1]
Where:

• P: Principal loan amount
• R: Monthly interest rate (annual rate divided by 12)
• N: Loan tenure in months

This calculator provides a breakdown of the total interest paid and the total principal amount repaid over the loan tenure.