An Equated Monthly Instalment (EMI) stays the same every month, but its split does not. Early instalments are mostly interest, because interest is charged on the outstanding balance and that balance is highest at the start. The amortisation table below the results shows the shift year by year.
EMI is the Indian term. The identical calculation is called a mortgage payment or monthly payment in the US and Canada, a repayment in the UK and Australia, and an instalment across Europe and the Gulf. This calculator handles a home loan, car loan, personal loan or student loan the same way, in any currency — pick your country from the header and the amounts switch to your money and your local digit grouping.
Is prepaying worth it? Almost always, and the earlier the better. Money paid above the EMI reduces principal directly, so every future month's interest is calculated on a smaller balance. Enter an amount in the extra payment field and the result shows exactly how many years and how much interest it saves.
Shorter tenure or lower EMI? A shorter tenure costs more each month but dramatically less in total. Try 15 years against 25 on the same loan — the monthly difference is usually far smaller than the interest difference.
Why is the total interest often more than the loan itself? On a long tenure at a normal rate it simply is. A 20-year loan at 8.5% repays roughly 108% of the amount borrowed as interest. Seeing that number is usually what convinces people to prepay.
India. Home loans are usually floating-rate, linked to an external benchmark such as the repo rate, and prepayment on floating-rate loans carries no penalty for individual borrowers.
United States. The 30-year fixed-rate mortgage is the norm and rates stay fixed for the whole term. Property tax and homeowner's insurance are often collected with the payment in escrow — this calculator shows principal and interest only.
United Kingdom. Rates are typically fixed for 2 or 5 years and then revert to a variable rate, so the payment changes at each remortgage. Overpayments are usually capped at 10% of the balance a year while a fixed deal is running.
Canada. Mortgages renew every few years and interest is compounded semi-annually by law rather than monthly, so a Canadian lender's quoted payment will differ very slightly from the figure here.
Australia. Offset accounts and redraw facilities are common and behave much like the extra payment field here.
Are fees included? No. Lenders typically charge 0.25–1% of the loan as a one-time processing or origination fee, plus valuation, documentation and insurance costs that vary. Add them to your own comparison.
What if my rate changes? Re-run the calculator with the new rate and the remaining balance as the loan amount. The amortisation table will show the new path from that point.
Can I get this as a document? Yes — Share Result produces a one-page PDF with your inputs and the full amortisation schedule, which is handy to take to a lender.
