Loan EMI Calculator
Enter the amount, the rate and the term to get the monthly payment, the total interest, and a full repayment schedule you can download. Every figure comes with the formula that produced it.
M = P·i(1+i)ⁿ / ((1+i)ⁿ−1) where P=250000, i=6.5%/12=0.541667%, n=300| Year | Interest | Principal | Balance left |
|---|---|---|---|
| 1 | $16,128.47 | $4,127.75 | $245,872.25 |
| 2 | $15,852.04 | $4,404.19 | $241,468.06 |
| 3 | $15,557.06 | $4,699.14 | $236,768.91 |
| 4 | $15,242.36 | $5,013.87 | $231,755.05 |
| 5 | $14,906.57 | $5,349.64 | $226,405.41 |
| 6 | $14,548.28 | $5,707.92 | $220,697.49 |
| 7 | $14,166.02 | $6,090.18 | $214,607.30 |
| 8 | $13,758.16 | $6,498.07 | $208,109.23 |
| 9 | $13,322.98 | $6,933.25 | $201,175.98 |
| 10 | $12,858.62 | $7,397.58 | $193,778.40 |
This is the loan itself, not the whole cost. Arrangement fees, insurance, property taxes and early-repayment charges are not included, and a variable rate will not stay where you set it. Lenders also round and apply interest on their own day-count conventions, so a real statement can differ by a small amount each month. Use this to compare offers and sanity-check a quote — not as a substitute for one.
Calculated in your browser. Your loan figures are never sent anywhere, and the CSV is generated on your device.
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How to use the loan calculator
- Enter the loan amount — the sum you are actually borrowing, after any deposit.
- Enter the annual interest rate as the lender quotes it, then set the term in years or months.
- Pick your currency so the figures read the way you expect.
- Read the monthly payment, then look at the total interest underneath. That second number is usually the one that changes decisions.
- Open the schedule to see the balance falling month by month or year by year, and download it as a CSV if you want it in a spreadsheet.
Nothing is uploaded. Every calculation happens in your browser.
What the calculator works out
Given three inputs — the amount, the rate and the term — there is exactly one monthly payment that repays the loan in full, with interest, in that time. The calculator finds it, and then rebuilds the whole loan month by month to show you where each payment goes.
Four figures come out of that:
The monthly payment. The fixed amount leaving your account each month.
The total interest. What borrowing cost you, over the whole term.
The total repaid. Principal plus interest — the true price of the purchase.
The schedule. Every payment, split into its interest and principal parts, with the outstanding balance after each one.
The last of those is where the useful detail lives, because it answers questions the headline cannot: how much will I still owe in seven years, how much of this year went on interest, when does the balance finally start falling quickly.
The formula, and why it looks like that
The standard amortisation formula is:
M = P · i(1 + i)ⁿ / ((1 + i)ⁿ − 1)
where P is the principal, i is the monthly interest rate (the annual rate divided by twelve, expressed as a decimal), and n is the number of monthly payments.
The shape of it comes from a simple requirement: the present value of all the payments you will make has to equal the amount you are borrowing today. Money in the future is worth less than money now, discounted at the loan's interest rate, and solving that equality for a constant payment gives the expression above.
The (1 + i)ⁿ term is compounding — the factor by which a balance would grow over n months at rate i. It appears twice because it governs both how the debt grows and how each payment is discounted.
One special case: if the rate is zero, that formula divides by zero. A zero-interest loan is just the principal spread evenly across the term, and the calculator handles it separately rather than returning an error.
Why the first years feel like nothing is happening
This is the single most surprising thing about amortising loans, and the schedule makes it visible.
Interest each month is charged on the balance you still owe. In month one you owe nearly the entire loan, so the interest charge is at its maximum. Your payment is fixed, so whatever the interest does not consume goes to principal — and early on, that remainder is small.
On a 25-year loan at 6.5%, the first payment is roughly three-quarters interest. After five years of payments, the balance has barely moved. The turning point comes gradually: every dollar of principal repaid slightly reduces next month's interest, which slightly increases next month's principal portion, which reduces the month after's interest further. It is compounding running in your favour, but slowly at first.
By the final year almost the entire payment is principal, and the balance falls off a cliff.
Two practical consequences follow. First, the total interest on a long term is enormous — often approaching or exceeding the amount borrowed. Second, overpayments made early are worth far more than the same amount paid later, because they remove a balance that would otherwise have been generating interest for decades.
Comparing offers properly
The headline rate is not the cost of a loan.
Look for the APR, not the nominal rate. APR (or APRC on European mortgages) folds mandatory fees into a single comparable percentage. A loan with a lower headline rate and a large arrangement fee can easily be the more expensive one.
Check whether the rate is fixed or variable. A fixed rate makes the schedule here a genuine forecast. A variable rate makes it a snapshot of today, and every figure will move when the rate does.
Watch for flat-rate quoting. Some lenders, particularly for car and personal loans in some markets, quote interest on the original amount for the whole term. That is close to twice the cost of the same figure on a reducing balance. If the arithmetic in the offer does not match this calculator, ask which basis they are using.
Compare total repaid, not monthly payment. Stretching the term always lowers the monthly figure and always raises the total cost. The monthly payment tells you what you can afford; the total tells you what you are paying.
Limits and requirements
Principal and interest only. Fees, insurance, taxes and early-repayment charges are excluded.
Fixed rate assumed. A variable-rate loan can be modelled at its current rate, but the schedule will not survive a rate change.
Monthly compounding. Payments are assumed monthly, which covers the vast majority of consumer loans.
Terms up to 60 years. Beyond that the tool declines rather than producing a meaningless figure.
Not for revolving credit. Credit cards, overdrafts and interest-only arrangements do not amortise and are not modelled here.
Privacy: how this tool handles your figures
The calculation, the schedule and the CSV export all happen in your browser. Nothing is transmitted, logged or stored, and closing the tab discards everything.
That is a deliberate difference from most loan calculators you will find. Calculators hosted by banks, brokers and comparison sites are lead-generation instruments as much as tools — the amount you want to borrow, the term you are considering and the rate you have been quoted describe a person with a live borrowing intention, which is among the most valuable signals in consumer finance. Many such tools ask for an email before showing the result, and the ones that do not still log the inputs.
There is no technical need for any of it. The formula is arithmetic your browser can do in microseconds. You can verify that nothing leaves: open developer tools, watch the Network tab while you change the figures, or simply disconnect from the internet after the page loads. The calculator keeps working.
Frequently asked questions
What does EMI stand for?
Equated Monthly Instalment — a loan repaid in equal monthly payments that cover both interest and principal until the balance reaches zero. The term is standard in Indian banking and widely used across South Asia and the Middle East; elsewhere the same arrangement is simply called a monthly repayment or an amortising loan. The arithmetic is identical whatever it is called.
Why is so much of my early payment going to interest?
Because interest is charged on the balance you still owe, and at the start you owe almost the whole loan. Each month the interest portion is calculated on the current balance, and whatever is left of your fixed payment goes to the principal. As the balance falls, the interest charge falls with it, so a growing share of the same payment attacks the principal. The effect is dramatic on long terms: on a 25-year loan at a typical rate, the first payment is mostly interest and the last is almost entirely principal.
Does this include fees, insurance and taxes?
No. It calculates the loan itself — principal and interest only. Arrangement or processing fees, mandatory insurance, property taxes, valuation costs and early-repayment charges all sit outside it, and on a mortgage those can add a meaningful amount to what actually leaves your account each month. Use this to understand the loan, then ask the lender for the full cost breakdown before signing anything.
What is the difference between a flat rate and a reducing-balance rate?
A reducing-balance rate charges interest on what you still owe, which falls every month. A flat rate charges interest on the original amount for the entire term, regardless of how much you have repaid. That makes a flat rate roughly twice as expensive as the same number quoted on a reducing balance — a flat 10% over five years works out near 18% in reducing-balance terms. This calculator uses reducing balance, which is how mortgages and most regulated consumer loans work. If a lender quotes a flat rate, it is not comparable to the figure here.
Why does my bank statement differ by a few cents?
Lenders apply their own rounding and day-count conventions. Some charge interest on the exact number of days in each month, some treat every month as a twelfth of a year, and some round each instalment to the nearest cent in a particular direction. Those choices produce small differences that accumulate slightly over a long term. The final payment is also usually adjusted to clear the balance exactly, which this calculator reproduces. Expect agreement to within a rounding error, not to the last cent.
How much does overpaying actually save?
More than most people expect, because every extra amount you pay comes straight off the principal, and every future month's interest is then calculated on a smaller balance. The saving compounds for the remaining life of the loan, so the earlier an overpayment lands the more it is worth. You can estimate it here by shortening the term and comparing the total interest figures. Check your agreement first — some loans carry early-repayment charges that eat the benefit.
Can I use this for a mortgage, a car loan or a personal loan?
Yes, for any loan repaid in equal instalments at a fixed rate — mortgages, car finance, personal loans, student loans on a standard repayment plan. It is not right for interest-only loans, credit cards with revolving balances, or income-contingent student loans, none of which amortise this way. A variable-rate loan can be modelled here at its current rate, but that rate will move.
Are my loan figures sent anywhere?
No. Everything runs in your browser, including the CSV export, which is generated on your device rather than fetched from a server. Nothing is transmitted, logged or stored. This is worth caring about: the amount you are borrowing and the rate you have been offered are exactly the details that make a person a valuable lead, and a calculator hosted by a lender or a comparison site has an obvious commercial interest in collecting them.