EMI Calculator – Calculate Your Loan EMI Online

Instantly calculate the Equated Monthly Installment (EMI), total interest, and total repayment for any home, car, or personal loan.

Direct Answer: EMI is the fixed monthly amount you repay on a loan, made up of principal and interest, calculated as EMI = P × r × (1+r)ⁿ ÷ [(1+r)ⁿ − 1], where P is loan amount, r is the monthly interest rate, and n is the number of monthly installments.
Please enter a valid loan amount.
Please enter a valid interest rate.
Please enter a valid tenure.
Monthly EMI–
Total Interest Payable–
Total Payment (Principal + Interest)–

How Is EMI Calculated? (Formula)

EMI = P × r × (1 + r)n ÷ [(1 + r)n − 1]
Where: P = Loan amount (principal), r = Monthly interest rate (Annual rate ÷ 12 ÷ 100), n = Loan tenure in months (Years × 12)

Step-by-Step Calculation

1. Convert the annual interest rate to a monthly rate: r = Annual Rate ÷ 12 ÷ 100.
2. Convert the tenure from years to months: n = Years × 12.
3. Raise (1 + r) to the power of n.
4. Multiply the result by P and r to get the numerator.
5. Subtract 1 from (1 + r)ⁿ to get the denominator.
6. Divide the numerator by the denominator to get the monthly EMI.

Example Calculation

InputValue
Loan Amount (P)৳10,00,000
Annual Interest Rate9.5%
Tenure20 years (240 months)
Monthly EMI≈ ৳9,321
Total Interest Payable≈ ৳12,37,115
Total Payment≈ ৳22,37,115

Definitions

EMI (Equated Monthly Installment): A fixed payment amount made by a borrower to a lender at a specified date each month, covering both interest and principal, so the loan is fully repaid over the tenure.

Principal: The original loan amount borrowed, before interest.

Amortization: The process of spreading loan repayment into a series of fixed EMIs over time.

Frequently Asked Questions

What is EMI in simple terms?

EMI stands for Equated Monthly Installment — a fixed amount you pay every month toward a loan until it is fully repaid, combining both principal and interest.

How is EMI calculated?

EMI is calculated using the formula EMI = P × r × (1+r)ⁿ ÷ [(1+r)ⁿ − 1], where P is the loan amount, r is the monthly interest rate, and n is the total number of monthly installments.

Does a longer tenure reduce EMI?

Yes, a longer tenure lowers the monthly EMI amount, but it increases the total interest paid over the life of the loan.

Is EMI the same every month?

For a fixed-rate loan, yes — the EMI amount stays constant, though the proportion of interest versus principal within each EMI changes over time.

This calculator provides an estimate for planning purposes only and does not constitute financial advice. Actual EMI may vary based on your lender's terms, processing fees, and rate type.