Understanding Loan EMI Calculations
An Equated Monthly Installment (EMI) is the fixed amount paid by a borrower to a lender at a specified date each month. Our **Advanced EMI Calculator** helps you plan your Home Loans, Car Loans, and Personal Loans with a click. By using the standard reducing balance method, you can see exactly how much interest you pay over time.
Frequently Asked Questions
How is EMI calculated?
EMI is calculated using the formula: P x R x (1+R)^N / [(1+R)^N-1], where P is Principal, R is interest rate per month, and N is the number of installments.
Does prepayment reduce EMI?
Prepayment usually reduces the loan tenure while keeping the EMI the same, which saves you a significant amount in total interest.
Is this calculator free to use?
Yes, ZapTool's EMI calculator is 100% free and works on all mobile devices without any registration.
What is an Amortization Schedule?
It is a complete table of periodic loan payments, showing the amount of principal and interest that comprise each payment until the loan is paid off.
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