DollarWise

Free Loan EMI Calculator — Monthly Installment & Total Interest

November 3, 2026 · 3 min read · By the DollarWise team

How it works

Enter the loan amount, the annual interest rate and how long you will take to repay — this calculator works out your fixed monthly installment (EMI), the total interest you will pay over the life of the loan, and a month-by-month amortization preview so you can see how much of each early payment goes to interest versus principal.

Loan EMI Calculator

Monthly installment, total interest, and an amortization preview — in one click.

100% Free Forever No Sign-up No Credit Card Private — runs in your browser Unlimited Use

1 Loan amount and rate

Use the annual rate your lender quotes — the calculator converts it to a monthly rate automatically.

2 Repayment tenure

Pick years for a home loan, months for a short personal or car loan.

3 See your repayment plan

💳 Your loan repayment plan

🎉 Free forever. No sign-up. No credit card. No limits.

Run as many loan scenarios as you like — every calculation happens in your browser.

## How the math works Every month the same fixed amount is due, but the split between interest and principal changes. The interest portion is the outstanding balance times the monthly rate (annual rate ÷ 12 ÷ 100); the rest of the EMI reduces the principal. The standard EMI formula is: **EMI = P × r × (1 + r)^n / ((1 + r)^n − 1)** where P is the principal, r is the monthly interest rate, and n is the number of monthly installments. At a 0% rate the EMI is simply P ÷ n. Total interest is EMI × n − P, and total payment is EMI × n. ## Everyday uses - **Home loan shopping:** compare two loan offers (different rate or tenure) side by side and see the lifetime interest difference. - **Prepayment check:** shorten the tenure in the calculator to see how much interest a few extra payments per year would save. - **Car or personal loan budgeting:** confirm the monthly EMI fits your budget before you sign, not after. ## Frequently asked questions ### What is the difference between flat rate and reducing balance? A flat rate charges interest on the full original principal for the whole tenure, so the effective cost is much higher. This calculator uses the reducing-balance (diminishing) method that almost all banks and NBFCs quote — interest is charged only on the outstanding balance each month. ### Does a longer tenure reduce my EMI? Yes, a longer tenure lowers the monthly EMI but raises the total interest paid over the life of the loan. Shortening the tenure usually saves far more in interest than it costs in extra monthly payment. ### Does this include processing fees, prepayment charges or taxes? No. The result is the pure principal-and-interest schedule. Processing fees, stamp duty, prepayment penalties and any insurance bundled with the loan are extra and are not included here.