Loans play a substantial role in acquiring the things we want. But, loans come with an encumbrance of Equated Monthly Installments (EMI). Calculating EMIs can be a daunting and a tedious task but with the introduction of EMI loan calculators, calculation of EMI can be done quickly, accurately and with minimal inputs. Almost every bank provides its customers with an online EMI calculator tool.
All you need to know before using an EMI calculator is:
- Principal Loan Amount
The amount you intend to raise against your loan.
- Interest Rate
The interest rate charged by the bank against your principal loan amount.
- Loan Term
You need to enter the tenure of the loan to calculate the Equated Monthly Installments (EMI).
- Incentive offered
Some lenders provide different incentive programs and by utilizing these incentives you may save yourself some money on the principal loan amount. An EMI calculator helps you to determine the money saved depending on the type of incentive offered.
EMI calculators have made the life of a debtor easy by offering following benefits:
- Saves time
An EMI calculator calculates the exact amount of EMI to be paid without consuming much of our time.
- Saves money
By calculating the accurate EMI in advance, you can decide on your loan amount according to your monthly budget.
- Know your options
The loan calculator can help us weigh different options and figure out the best one suited to our needs.