Loan Prepayment Calculator India

Enter your outstanding principal, rate, remaining months and the prepayment. The calculator runs the loan month by month with and without the prepayment and shows the difference. The saving is larger the earlier you prepay and the higher your rate, because more of an early EMI is interest.

Keeping the EMI the same and shortening the tenure usually saves more interest, since the balance falls faster. Lowering the EMI keeps your end date and eases monthly cash flow but costs more interest overall. The calculator models one at a time so you can run both and compare.

Under the Reserve Bank of India's 2025 directions, prepayment charges cannot be levied on floating-rate loans to individuals sanctioned or renewed on or after 1 January 2026. Older loans and fixed-rate loans can still have a charge, so read your loan agreement and enter any percentage in the calculator.

From your outstanding principal, the annual rate divided by 12, and the months remaining, using the standard reducing-balance formula. It can differ slightly from your lender's figure if your loan has strayed from its original schedule, so check your statement.

It shows a snapshot at the rate you enter, assuming the rate stays fixed. A floating-rate loan changes its rate with the benchmark, so the actual tenure or EMI can differ. It is best used to compare options rather than to predict the exact payoff date.