With the advent of a plethora of Fintech organizations these days, you can avail of a personal loan in just a single click. But it could be tricky if you are not sure about how much EMIs you will be paying each month or whether you will be able to afford the loan or not without affecting your present budget. This is where a personal loan EMI calculator helps you out in calculating the amount that you need to pay as EMIs. By calculating the EMIs, it gets easier for you to plan your budget and spending accordingly.
Procedure to check your loan EMIs using personal loan EMI Calculator
To know your personal loan eligibility and to calculate monthly EMIs of your loan, you need to put in factors such as loan amount, loan tenure, and the rate of interest in the calculator. After entering this information, the calculator will show you the desired output which will help you to choose the best personal loan for yourself according to your eligibility and repayment capacity. You can follow the below-mentioned steps to calculate your loan eligibility-
You can calculate the EMIs on your personal loan by using two methods i.e. manually or using an online EMI calculator. The process for both is explained below:
Method 1: By using an online EMI Calculator
1. Go to the Personal Loan EMI Calculator page of the lending institution or any Fintech portal
2. Enter the following information:
• Principal Loan Amount (the amount you need to borrow)
• Loan tenure (the period for which the loan amount is sanctioned)
• Rate of Interest (the rate at which the lender offers the loan)
3. After entering the above-mentioned information, the monthly EMI you are required to pay will be shown instantly
Method 2: By using a manual EMI calculation formula
This is the formulae that you would need to calculate EMIs on your personal loan-
E = [P x R x (1+R) ^ N] / [(1+ R) ^ N – 1] wherein, E stands for Equated Monthly Installment, P stands for Principal loan amount, R stands for Rate of interest, N stands for the number of months.
Benefits of using a Personal Loan EMI Calculator
• Simple to use: Using an online EMI calculator is very easy. Anyone can use this calculator to evaluate his/her loan affordability. All you need to provide details related to personal loans such as loan amount, interest rate, and tenure. The result will be shown instantly.
• Give accurate results: There might be chances of mistakes when you do the mathematical calculation manually while finding out EMIs of your loan which may lead to choosing the wrong loan offer. But by using this calculator, you get a chance to do multiple variations with accurate results every single time.
• Helps you to select the best loan offers: When you input various lender offers on an EMI Calculator, you get an instant idea of what your EMI will be with different lenders. After comparing all the loan offers, you can easily decide the best loan offer for yourself.
• Free of cost: This is one of the biggest advantages as the calculator is free of cost. One can use as many times according to their requirements.
So, before you go and scout for a personal loan to meet your urgent financial need. Make sure you do not forget to check the personal loan interest rate offered by the different lenders and your eligibility by using personal loan EMI Calculator online.
Both salaried and self-employed borrowers can obtain HDFC Bank Personal Loan.
A personal loan from HDFC bank is offered with easy to meet eligibility at a low rate of interest in a short period.
That helps you to own cash to fulfill your financial needs on time.
