Did You Know Calculating Personal Loan EMI Can be So Easy!
A personal loan is indeed a reliable option which you can borrow to meet your various immediate needs. Be it home renovation, wedding, higher education, medical emergency, personal finance could be the answer to it all.
Personal loans are unsecured loan so they don’t need any collateral and can be availed instantly via paperless approvals.
So, why liquidating your precious assets or borrow money from your relatives & friends when you can procure a personal loan within a short period of time only.
But before you apply for a personal loan, you need to first analyze the actual cost of borrowing money. And that is where ‘personal loan EMI calculator’ pitches in.
A personal loan EMI calculator is a very useful tool which enables you to evaluate your monthly EMIs (equated monthly installments) easily and conveniently. Here is what you need to know about the personal loan EMI calculator.
What is a Personal Finance EMI Calculator?
A personal loan EMI calculator is a very useful tool that helps you evaluate the EMI (equated monthly installments) of personal finance that has to be paid in the long run. With the assistance of this time-saving tool, a potential borrower can easily & quickly know his/her EMIs. Since this tool evaluates the exact monthly installments thereby helping you to take the calculative decision as per your convenience.
This magical tool also gives you detailed information about the ‘total rate of interest as well as the total amount payable (Principal + Interest)’ in the easiest manner. To know the same, you just need to fill in the loan amount that you wish to avail, select the interest/profit rate & and the desired loan tenor. In addition to this, you also have to enter your monthly salary which will be utilized to generate a list of personal finance options that you are eligible to apply for.
How Does Personal Finance EMI Calculator Works?
Personal loan EMI calculator works on a very simply algorithm. It calculates the personal finance ‘EMIs, Interest Rate Outgo, and the Total Amount Payable’ very easily and quickly. The moment you provide the personal loan details such as Loan Amount, Rate of Interest, and Loan Tenure, this amazing tool immediately fetches the value for you in a just a few seconds only.
The tool provides you the accurate & exact calculations in the best possible manner thereby making it easier for you to procure a personal loan as per your convenience. This is the reasons that this magical tool is widely utilized by the borrowers in order to know the accurate calculations of the personal loan EMIs.
The 0046 formula of Personal Loan EMI Calculator
Apart from using an online personal loan EMI calculator, you can also evaluate your EMI with a mathematical formula. The formula to calculate the personal finance EMI is given below:
E= [P x R x (1+R)^N]/[(1+R)^N-1)
In the above-mentioned EMI calculating formula,
E is the actual EMI that you will need to pay.
P is the loan amount that you wish to borrow.
R is the personal loan interest rate applied.
N is the tenor of loan repayment in months.
Factors Affecting the Personal Loan EMI
- Loan Amount: This is an amount that borrower decides to take from the personal loan lender/bank in the form of a loan. The higher the personal loan amount, the higher will be the EMI. Well, the maximum personal loan amount you can avail is decided by the lender based on your loan repayment ability, relationship with the bank, and several other factors.
- Interest Rate: Personal loan interest rate is levied by the bank/personal loan lender on the loan amount. Lower the personal finance interest rate, lower will be the EMI. However, the lender will determine the personal finance interest rate based on several factors such as income, your credit score, repayment ability, etc.
- Loan Tenor Period: This is basically a time period for which you take a personal loan. The longer the tenor period, the lower the EMI. The longest loan tenor available across banks in Dubai is five years, subject to borrower’s current age & retirement age.
Features & Benefits of the Online Personal Loan EMI Calculator
- Accuracy: This tool provides you the accurate results within a few seconds only. A wrong calculation may lead to wrong results which can significantly change the EMI of a personal loan. Therefore, it is recommended to use a personal loan EMI calculator to get accurate results.
- Time-saving: This magical tool enables the borrower to save their precious time in doing those monotonous calculations by evaluating EMI in just a few seconds only. With this tool, you will get the outcome instantly as the moment you provide the personal loan details.
- Easy Comparison: By using this tool, you can easily & quickly evaluate the personal loan EMI for different personal finances in order to see which suits your financial needs the most.
- Endlessly Adjustable: Using this tool, you can calculate & recalculate an EMI unlimited times since there is no limit set on it. Henceforth, you can easily adjust the personal loan amount as well as tenor until and unless you find out the right EMI that can suit your budget perfectly.
- Processing Fee: EMI calculator also takes into account the processing fee that the lender will charge and also tell you how much your EMI will be including the processing fee.
When you decide to opt for a personal loan during a cash crunch, one of the most useful tools is the personal loan EMI calculator. This amazing tool enables you to calculate the personal finance EMIs within just a few seconds only. You can easily count on this tool since it gives an accurate calculation in a hassle-free manner.