EMI on ₹20,000 for 18 months at different interest rates
| Interest rate (yearly) | Monthly EMI | Total interest | Total repayment |
|---|---|---|---|
| 10% | ₹1,201 | ₹1,621 | ₹21,621 |
| 12% | ₹1,220 | ₹1,954 | ₹21,954 |
| 14% | ₹1,238 | ₹2,289 | ₹22,289 |
| 16% | ₹1,257 | ₹2,628 | ₹22,628 |
| 18% | ₹1,276 | ₹2,970 | ₹22,970 |
| 20% | ₹1,295 | ₹3,315 | ₹23,315 |
| 22% | ₹1,315 | ₹3,662 | ₹23,662 |
| 24% | ₹1,334 | ₹4,013 | ₹24,013 |
Worked out with the standard reducing-balance formula. The rates are a range for comparison, not a lender's offer; processing fees and GST are extra and show in the lender's Key Fact Statement.
Month-by-month repayment at 16%
| Month | Principal paid | Interest paid | Balance left |
|---|---|---|---|
| Month 1 | ₹990 | ₹267 | ₹19,010 |
| Month 2 | ₹1,004 | ₹253 | ₹18,006 |
| Month 3 | ₹1,017 | ₹240 | ₹16,989 |
| Month 4 | ₹1,031 | ₹227 | ₹15,958 |
| Month 5 | ₹1,044 | ₹213 | ₹14,914 |
| Month 6 | ₹1,058 | ₹199 | ₹13,856 |
| Month 7 | ₹1,072 | ₹185 | ₹12,783 |
| Month 8 | ₹1,087 | ₹170 | ₹11,697 |
| Month 9 | ₹1,101 | ₹156 | ₹10,595 |
| Month 10 | ₹1,116 | ₹141 | ₹9,479 |
| Month 11 | ₹1,131 | ₹126 | ₹8,349 |
| Month 12 | ₹1,146 | ₹111 | ₹7,203 |
| Month 13 | ₹1,161 | ₹96 | ₹6,042 |
| Month 14 | ₹1,177 | ₹81 | ₹4,865 |
| Month 15 | ₹1,192 | ₹65 | ₹3,673 |
| Month 16 | ₹1,208 | ₹49 | ₹2,465 |
| Month 17 | ₹1,224 | ₹33 | ₹1,241 |
| Month 18 | ₹1,241 | ₹17 | ₹0 |
Interest is charged on what you still owe, so early EMIs are mostly interest and later ones mostly principal: the first period's interest is about ₹267, the last about ₹17. Half the loan is repaid by around Month 10. A part-prepayment early in the tenure saves the most interest.
₹20,000 over other tenures
| Tenure | Monthly EMI | Total interest |
|---|---|---|
| 6 months | ₹3,491 | ₹944 |
| 1 year | ₹1,815 | ₹1,775 |
| 18 months | ₹1,257 | ₹2,628 |
| 2 years | ₹979 | ₹3,502 |
Choosing 1 year raises the EMI but saves about ₹853 in interest. Stretching to 2 years lowers the EMI but adds about ₹874 in interest.
Nearby amounts over 18 months
| Loan amount | Monthly EMI | Total interest |
|---|---|---|
| ₹10,000 | ₹629 | ₹1,314 |
| ₹15,000 | ₹943 | ₹1,971 |
| ₹20,000 | ₹1,257 | ₹2,628 |
| ₹25,000 | ₹1,571 | ₹3,285 |
| ₹30,000 | ₹1,886 | ₹3,942 |
What income does this EMI need?
Many lenders want all your EMIs to stay within roughly half of your monthly take-home pay. With no other EMIs, an EMI of ₹1,257 fits within half of about ₹3,000 a month. Lenders also set their own minimum income, which is often higher, and look at your credit score and banking — so treat this as a rough check, not a promise.
How to pay less on this loan
- Compare offers on the APR in the Key Fact Statement, not on the headline rate.
- Check the rate is reducing-balance, not flat — a flat rate costs far more.
- Pick the shortest tenure whose EMI you can pay comfortably every month.
- Prepay when you can: early prepayments cut the most interest. Check any prepayment charge first.
- Keep your credit score healthy — a better score usually means a better rate.