Loan Interest Calculator Online – Calculate EMI, Interest & APR
For more details on how interest rates are regulated in India, you can check the Reserve Bank of India guidelines. You may also read an in-depth guide on loan interest explained on Investopedia.
Loan Interest Calculation Calculator
Enter the loan details below. Choose Fixed or Variable rate and Simple or Compound interest. The calculator shows estimated monthly payment (EMI), total payment and total interest payable over the loan tenure.
Simple vs. Compound Interest
Simple Interest:
Interest is earned or charged only on the initial amount of money (the principal).
The interest amount remains the same for the entire loan or investment term.
This is a straightforward calculation, but it results in slower growth for investments compared to compound interest.
Compound Interest:
Interest is calculated on both the original principal and any interest that has already been added to it.
It is often called "interest on interest" and leads to exponential growth of your money over time.
The frequency of compounding (e.g., annually, monthly, daily) affects how quickly your money grows.