Find out how long it will take to repay

Loan tenure is the total time over which you repay a loan. It's typically expressed in months or years and is determined by the loan amount, interest rate, and monthly payment.

We use the formula n = −log(1 − (P × r) / EMI) ÷ log(1 + r), where P is principal, r is monthly interest rate, and EMI is your monthly payment. The result is rounded up to the next full month.

The formula gives a fractional number of months. We round up and adjust the final payment to clear the remaining balance exactly. That's standard practice with most lenders.

If your monthly payment is less than the monthly interest on the principal (P × r), the loan balance will never decrease. We flag this in the calculator — you'll need to increase your payment.

No. This calculator works on the loan principal and interest only. Processing fees, insurance, and other charges are separate costs your lender will add.

Higher interest rates mean more of your payment goes to interest, so the principal reduces more slowly — extending the tenure. A 1% rate increase can add months or even years to your loan.

Yes. Every extra rupee you pay goes directly to principal, reducing the balance and therefore future interest. Even small increases in your monthly payment can significantly shorten the tenure.

Not always. Shorter tenure means higher monthly payments but much lower total interest. Choose the shortest tenure your comfortable payment can support without straining your budget.

Your payment must exceed the monthly interest on the original principal (P × r). For a ₹10 lakh loan at 9%, that's ₹7,500/month. Any amount above this reduces the principal and leads to eventual repayment.

For a given monthly payment and interest rate, a larger loan takes longer to repay. The relationship isn't linear — doubling the loan amount more than doubles the tenure at low payment levels.

A table showing every payment over the life of the loan, broken into principal and interest, with the remaining balance after each payment. It's the most honest view of what a loan actually costs.

Because interest is calculated on the outstanding balance, which is highest at the start. As you repay, the balance drops and the interest portion of each payment shrinks.

Usually not directly. But lump-sum prepayments can let your lender either reduce your remaining tenure or lower your EMI. You typically get to choose which.

Floating-rate loans are often linked to an external benchmark. When the RBI changes the repo rate, your loan's interest rate adjusts, which can change your tenure if the payment stays the same.

An interest-only payment made during construction of a home loan, before full disbursement. Once the property is ready, full EMIs begin and tenure starts.

In India, home loan interest is deductible under Section 24(b) up to ₹2 lakh/year. Education loan interest is deductible under Section 80E without an upper limit for 8 years. Consult a tax advisor.

Moving your loan to a new lender offering a lower rate. Can significantly reduce total interest — but factor in processing fees and foreclosure charges on the old loan.

Depends on the loan type. Fixed-rate loans keep the same rate throughout. Floating-rate loans change with market conditions. Most home loans in India are floating-rate.

Missing a payment triggers a late fee (usually 1–2% of the overdue amount), damages your credit score, and can lead to legal action if repeated. Contact your lender immediately if you're struggling.

A common rule: total EMIs shouldn't exceed 35–40% of your net monthly income. Use our Affordability Calculator for a more accurate picture based on your real budget.

Not directly. What affects your score is repayment behaviour — paying on time, not defaulting. But longer tenure means more total interest, which affects your overall financial health.

Yes, but you'll likely pay a higher interest rate. Some NBFCs and fintech lenders specialise in lower-score borrowers. Improving your score first can save you a lot.

A secured loan is backed by collateral (like a home or car), so interest rates are lower. An unsecured loan has no collateral, so rates are higher to compensate for risk.

The same reducing-balance formula. Home loans usually have longer tenures (up to 30 years), which lowers the EMI but increases total interest.

A rate that changes with market conditions and central bank policy. Can go up or down, affecting your EMI or tenure. Fixed rates stay the same throughout.

Floating-rate loans are often linked to an external benchmark. When the RBI changes the repo rate, your loan's interest rate adjusts, which can change your EMI or tenure.

Typically: identity proof (PAN, Aadhaar), address proof, income proof (salary slips or ITRs), bank statements, and employment details. Requirements vary by lender.

A one-time fee (usually 0.5–2% of the loan) for processing your application. It's typically deducted from the disbursed amount.

Three ways: negotiate a lower rate, choose a shorter tenure, and make prepayments whenever possible. Prepaying early has the biggest impact.

Someone who shares responsibility for the loan. A co-applicant with good credit and stable income can improve approval chances and may get you a lower rate.

Yes. Most loans allow early repayment via a lump-sum payment. Some lenders charge a prepayment penalty — check your agreement first.

Loan-to-Value ratio — the loan amount as a share of the asset's value. For home loans, a lower LTV (larger down payment) usually gets you a lower interest rate.

The lender has assessed your profile and is willing to lend a certain amount without a full application. Usually based on your credit history and relationship with the lender.

Yes, but lenders consider your total debt-to-income ratio. Too many active loans can make it harder to get new credit and may increase the rate on future loans.

A secured loan where you pledge your property as collateral. Interest rates are usually lower than unsecured personal loans.

Personal loans: hours to days. Home loans: 1–3 weeks due to property verification and legal checks. Car loans: usually 1–3 days.

Also called a moratorium — a temporary period without EMIs. Interest still accrues, so you'll pay more overall. Some lenders offer this for job loss or medical emergencies.

Fixed offers certainty but often starts slightly higher. Floating can be cheaper if rates fall, costlier if they rise. Choose based on your risk tolerance and rate expectations.

A numerical representation of your creditworthiness (300–900 in India). Higher scores (750+) get better rates, faster approvals, and higher eligibility.

Pay all bills on time, keep credit utilisation under 30%, don't apply for too much credit at once, and maintain a mix of credit types. Check your report for errors regularly.

Legal action, seizure of collateral (for secured loans), severe damage to your credit score, and difficulty getting credit in future. Talk to your lender early — most prefer restructuring over default.

Shortest tenure your comfortable EMI can support. A longer tenure reduces monthly strain but increases total interest significantly.

A shortcut to estimate doubling time: 72 ÷ rate = years. At 9%, money doubles in about 8 years. Useful for understanding compound growth or debt.

Some retailers offer "0% EMI" schemes, but the cost is usually hidden in the product price or a processing fee. Read the fine print.