EMI Prepayment Calculator
Calculate interest saved and tenure reduced by making a partial prepayment on your home or car loan.
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After Prepayment Goal
Original EMI
₹26,035
EMI (unchanged)
₹26,035
Outstanding Balance
₹28,75,309
After Prepayment
₹26,75,309
You Save
Interest Saved
₹6,07,076
Time Saved
2yr 7mo
New remaining tenure: 15 yrs 5 months
* Some banks charge a prepayment penalty (0–2%) on fixed-rate loans. RBI has banned prepayment penalty on floating-rate home loans.
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About this tool
How to use EMI Prepayment Calculator
- 1Enter your original loan amount, interest rate, and tenure
- 2Enter how many months of EMI you have already paid
- 3Enter the prepayment amount you plan to make
- 4Choose your goal: Reduce Tenure (keep same EMI) or Reduce EMI (keep same tenure)
- 5See interest saved and tenure reduction instantly
Frequently Asked Questions
Is it better to reduce EMI or tenure after prepayment?
Reducing tenure saves significantly more interest and gets you debt-free faster. Reducing EMI improves monthly cash flow. If you can manage the same EMI, always choose to reduce tenure.
Can banks charge a prepayment penalty?
RBI has banned prepayment penalty on floating-rate home loans. For fixed-rate home loans and other loans, banks may charge 0–2% penalty. Check your loan agreement before making a prepayment.
When is the best time to make a prepayment?
Early in the loan tenure — in the first few years, most of your EMI goes towards interest. A prepayment at year 2–5 saves far more than the same amount paid at year 15.
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