IDFC Personal Loan Calculator
The IDFC personal loan EMI calculator lets you get an approximate amount of your EMIs. The calculator is designed to help users in loan planning. You can change your loan amount and tenure until you get an EMI amount that fits your budget. The calculator can also help you compare different interest rates so that you can choose the one that is affordable for you.
A personal loan is a loan that helps you borrow money for any planned or unplanned, small or big expenses in your life. You can get a personal loan without any collateral or co-signee. Many lenders offer a digital application process, which can help you apply for personal loans instantly within minutes. You can also choose flexible repayment tenures and get a loan at competitive interest rates.
EMI stands for Equated Monthly Installment for the loan you avail from the bank. The EMI comprises the principal portion of the loan amount and the interest. Your EMIs are due on a fixed date every month, which is notified when the loan is disbursed. The EMIs will vary depending on the tenure of the loan. A longer tenure lowers your EMI payments but increases your total interest payment while a shorter tenure increases your EMIs but reduces the total interest.
How Does The IDFC Personal Loan EMI Calculator Work?
The IDFC personal loan EMI calculator works based on a simple formula. We have mentioned it below.
Where,
P is the principal personal loan amount
r is the rate of interest per month
n is the loan tenure in months
Example:
You are planning to take a personal loan for ₹5.75 lakhs. The lender is offering you the loan at an interest rate of 16%. The tenure of the loan is 7 years. Here’s how you can use the calculator formula to calculate the monthly EMI amount.
EMI = 5,75,000 x 0.16/12 x (1 + 0.16/12)^84 / [(1 + 0.16/12)^84 - 1]
EMI = 5,75,000 x 0.01333 x 3.04141 / 2.04141
EMI = 23,311.6472975 / 2.04141
EMI = ₹11,419 (approximately).
How Should You Use The IDFC Personal Loan EMI Calculator?
The IDFC personal loan EMI calculator has a very user-friendly interface, making it possible for almost anyone to use it. All you need to do is follow the below-mentioned steps to figure out the monthly EMI amount.
- Enter the loan amount. You can easily set the amount in the box.
- Set the interest rate. The personal loan interest differs for each bank and borrower.
- Input the loan repayment tenure.
Once all the data is entered into the calculator, it will offer an estimate of the EMI payable.
Example:
Ms. Gina is thinking about going on a vacation. She needs to get a personal loan for ₹6.35 lakhs. The bank is offering the loan at an interest rate of 14.5%. The tenure of the loan is 5 years. Let’s calculate Gina’s EMI amount.
EMI = 6,35,000 x 0.145/12 x (1 + 0.145/12)^60 / [(1 + 0.145/12)^60 - 1]
EMI = 6,35,000 x 0.01208 x 2.05537 / 1.05537
EMI = 15,766.332196 / 1.05537
EMI = ₹14,939 (approximately).
So, if Ms. Gina takes a personal loan of ₹6.35 lakhs to fund her travel expenses at an interest rate of 14.5% for a tenure of 5 years, she will have to pay nearly ₹15,000 as her monthly EMI amount.
Benefits Of Using The IDFC Personal Loan EMI Calculator
Using the IDFC personal loan EMI calculator comes with a plethora of benefits. We have mentioned a few of them below.
- By using the personal loan EMI calculator, you can determine the exact EMI amount before applying for the loan based on the loan amount, interest rate, and tenure.
- If you have a particular EMI budget in mind, the calculator can help you figure out the loan amount that you can comfortably afford without stretching your finances.
- By knowing the total principal amount and the total interest payable, you can use the calculator to choose a comfortable loan tenure.
- Calculating the EMI amount through the manual method is time-consuming, complex, and often prone to errors. However, the calculator tool provides results instantly.