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Prepay your loan.
See what changes.

Compare a shorter repayment period with a lower EMI. This loan prepayment calculator shows the interest you could avoid and the effect of the charge you enter.

Taking a new loan? Use the EMI calculator →

Your current loan

Start with the example or enter the figures from your lender.

The amount you still owe, before interest.

Use your current rate, not a flat rate or APR.

Whole months in your current schedule.

The amount that will reduce your principal.

Enter the lender’s charge including any tax. Use 0 only if there is no charge.

Your figures stay in this browser. No phone number or sign-up needed.

Your prepayment comparison

Results use the figures shown. This is a fixed-rate illustration.

Current calculated EMI
₹6,642.86
Interest without prepayment
₹39,143.03
Pay today, including charge
₹51,000.00
Prepay ₹50,000.00 from an outstanding ₹2,00,000.00, with a ₹1,000.00 charge.
Shorten the termLower the EMI
Future monthly payments26 payments36 payments
Regular monthly payment₹6,642.86₹4,982.15
Final payment₹4,796.61₹4,982.15
Remaining interest₹20,868.16₹29,357.27
Interest avoided₹18,274.87₹9,785.76
Net saving after charge₹17,274.87₹8,785.76
Total paid from today₹2,21,868.16₹2,30,357.27

Keeping the EMI generally clears the balance sooner. Reducing the EMI leaves more room in your monthly budget. Confirm which options your lender permits.

How the saving is calculated

Net saving = interest without prepayment − remaining interest − the charge. The prepayment is principal you already owe, so it is not subtracted twice.

The interest avoided is also the charge at which each option breaks even in this calculation. It excludes other uses of your cash, liquidity needs and costs you have not entered.

Lower EMI or shorter tenure?

For the same prepayment and fixed rate, keeping your monthly EMI normally reduces the remaining term and saves more interest. Keeping the term reduces the monthly payment instead. The right choice also depends on the cash you need for living costs and emergencies.

For example, with ₹2,00,000 outstanding at 12% and 36 months left, the calculated EMI is ₹6,642.86. Prepaying ₹50,000 with a ₹1,000 charge leaves about ₹17,274.87 in net savings if you keep that EMI, or ₹8,785.76 if you lower the EMI to ₹4,982.15 and keep the term. These are mathematical examples, not lender offers.

What the calculation assumes

  • Prepayment happens immediately before the next monthly interest period. The amount entered reduces principal.
  • The annual reducing-balance interest rate stays fixed, and payments occur in equal monthly periods.
  • The starting EMI is calculated from your outstanding balance, rate and remaining months. It may differ from your lender’s actual EMI.
  • The charge is paid separately today. Enter the complete charge, including tax if applicable; this tool does not infer a fee rule.
  • There are no overdue amounts, daily interest adjustments, rate resets, repeat prepayments or other charges.
  • Calculations retain full precision. Displayed amounts round to paise.

The maths behind your result

Monthly rate r = annual interest rate ÷ 1,200. With principal P and n months, the starting payment is P × r ÷ (1 − (1 + r)⁻ⁿ). At zero interest it is simply P ÷ n.

Subtract the prepayment from the outstanding principal. For a lower EMI, apply the same formula to that smaller balance over the same term. For a shorter term, retain the original EMI until the balance is cleared; the last payment can be smaller.

Total paid from today includes today’s prepayment and charge, plus every future payment. Savings compare that amount with the remaining payments without prepayment. This is not a comparison of investment returns or the time value of money.

Before you make a prepayment

Does every loan allow either option?

No. Ask the lender whether part-payment is allowed, which EMI/tenure options it supports, and whether it has minimum amounts or timing conditions. Request a revised schedule before relying on an estimate.

Can the charge make prepayment cost more?

Yes. If the charge exceeds the interest avoided, this tool shows a negative net saving. It never assumes that prepayment is free.

What about a floating-rate loan?

The calculation can illustrate the current rate held constant. Future changes in your rate or EMI will change the outcome. Confirm the actual rate and any applicable charges with the lender.

Your next step

Ask your lender for the outstanding principal, complete prepayment charge and revised schedule for both options. Check that you can keep enough cash for essential expenses.

Understand EMI, fees and APR →Check an app’s reported lender →