Loan Prepayment Calculator

Before paying a lump sum into your loan, compare how it changes the remaining interest, monthly instalment and payoff time.

Compare reduced tenure or reduced EMI
See savings after entered prepayment charges
Export a monthly repayment schedule

The two choices after a lump-sum payment

Keeping the EMI usually closes the balance earlier. Keeping the original end date instead recalculates a smaller EMI over the remaining months. Both simulations start with your current outstanding principal, using annual rate ÷ 12 and a reducing balance.

Choose the timing precisely

Enter 0 to make the extra payment today, before the next interest period. Enter 12 to apply it immediately after the twelfth regular instalment. The lump sum must not exceed the balance at that point. The displayed schedule separates regular instalments, interest and the extra repayment.

Check the zero-interest case

For ₹12,000 outstanding over 12 months at 0%, the original EMI is ₹1,000. Paying ₹3,000 today and keeping the EMI leaves nine instalments. Keeping the tenure produces an EMI of ₹750. Neither choice saves interest when the rate is zero.

Fees, rates and lender policies

RBI’s 2025 directions prohibit charges for specified floating-rate loans sanctioned or renewed from 1 January 2026, including non-business loans to individuals. Other cases depend on the applicable rules and agreement. Enter only applicable charges; the calculator does not decide eligibility. Future rate changes and investment returns are excluded.

Technical references: RBI pre-payment charges directions, 2025

Loan Prepayment Calculator FAQs

Does prepaying reduce EMI automatically?

Not necessarily. Loan Prepayment Calculator lets you select the outcome to compare it, but your lender must confirm whether it will reduce tenure, EMI, or permit a choice.

Is the prepayment itself counted as a saving?

No. The lump sum repays principal you already owe. Net saving is the difference in remaining interest minus the entered charges, without treating principal repayment as a profit.

Can I try an example in Loan Prepayment Calculator?

Loan Prepayment Calculator provides this sample: { "title": "Loan prepayment comparison", "summary": [ [ "Current EMI (₹)", 24618.49 ], [ "Revised EMI (₹)", 24618.49 ], [ "Original months", 180 ], [ "Revised months", 156 ], [ "Interest without prepayment (₹)", 1931327.77 ], [ "Interest with prepayment (₹)", 1529429.12 ], [ "Interest saved (₹)", 401898.65 ], [ "Net saving after charges (₹)",…. Use the sample button to reproduce it, then replace the inputs with your own values.