What is an EMI?
EMI (Equated Monthly Installment) is the fixed amount you pay every month to repay a loan. Each EMI consists of two parts: the principal amount (the money you borrowed) and the interest charged by the lender. The EMI remains the same throughout the loan tenure, although the proportion of principal and interest changes with each payment.
EMIs are commonly used for home loans, personal loans, car loans, education loans, and business loans. Using an EMI Calculator helps you estimate your monthly payments before applying for a loan, making it easier to plan your finances and compare different loan options.