Are you running your business 24*7 under any form of risk? The risks could be an operational risk, theft, bankruptcy, accidental mishaps etc. Before any risk surface over your shop, safeguard it by opting personal loans. These loans are the unsecured loan which can be provided to you anytime for you to cover up your any type of mishappenings. No matter, what your income level is, personal loans can be granted to you from any lender when you will be in dire need of cash. The immediate cash requirement will directly be transferred to your bank account whenever your need arises. Apart from it, comes along the quick processing, minimum documentation, and fast disbursal benefits. Choose your trusted bank which provides you the lowest interest rate that offers you the assistance to plan your monthly installments at ease. Take the help of Personal loan EMI Calculator which shows you the amount which you need to keep aside every month from your monthly budget without creating any extra pressure in restricting your other expenses.
Personal Loan EMI Calculator
Personal loan EMI Calculator is an online arithmetical tool which performs lengthy and tedious calculation towards your personal goals. You need to enter the details such as the amount of personal loan, the tenure and the interest rate on a personal loan that will be charged. The tenure of the loan should be changed to months before substituting it in the EMI formula toolbar for calculating the personal loan EMI.
EMI Calculation Formula
For calculating the personal loan EMI, the following formula is applicable thereon:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
EMI = equated monthly installment
P = the principal or the amount borrowed as a loan
R = the rate of interest which is applicable on the loan amount (the interest rate should be based on the monthly rate)
N = the tenure of the loan repayment or the number of monthly installments you will pay (tenure should be in months)
For example : Suppose there is a theft taken place in a jewellery shop of ₹ 80 lakhs. To mitigate such heavy loss, the shop owner has contacted his insurance company but it is taking its own course of time. In order to close this gap of waiting, the shop owner decides to contact the bank for availing the personal loan in order to cover up the loss hurriedly. He decided to choose one specific bank across interest rates available from the following bank. He wants to apply for ₹ 90 lakh personal loan for a tenure of 5 years. He wants to check which EMI would be beneficial at the lowest interest rate and for that he takes the help of a Personal Loan EMI Calculator.
The calculation of EMI will take place by entering the interest details in Personal Loan EMI calculator :
SBI Personal Loan : at 11.90% p.a. interest rate
EMI : ₹ 1,99,746
Total Interest Amount : ₹ 29,84,732
Total Amount(Principal+Interest)=₹ 1,19,84,732
HDFC Personal Loan : at 10.99% p.a. interest rate
EMI : ₹ 1,95,637
Total Interest Amount : ₹ 27,38,216
Total Amount(Principal+Interest)=₹ 1,17,38,216
ICICI Personal Loan : at 11% p.a. interest rate
EMI : ₹ 1,95,682
Total Interest Amount : ₹ 27,40,908
Total Amount(Principal+Interest)=₹ 1,17,40,908
Bajaj Finance Personal Loan: at 11.99% p.a. interest rate
EMI : ₹ 2,00,155
Total Interest Amount : ₹ 30,09,273
Total Amount(Principal+Interest)=₹ 1,20,09,273
By observing the above calculated results for the specific banks, the jeweller decides to go for HDFC Bank finally for availing personal loan at 10.99% interest rate.
Advantages of Personal Loan EMI Calculator
- Calculate your monthly instalments by taking the help of Personal Loan EMI Calculator in order to calculate your instalments payable at the time of disbursal of personal loan. It would help in determining which bank fulfills the criteria of your repayment capacity.
- The EMI Calculator shows you the full clarity of your loan repayment. By taking assistance from iconographic such as line charts, pie chart, and table, the EMI Calculator shows you the calculation of the break-up components like interest rate, principal amount, the tenure and the processing fee(if any).
- The EMI Calculator permits you to highlight the several aspects of your repayment capacity individually and helps you in ascertaining your Personal loan eligibility. It highlights you the composition of the total payable amount in the loan amount, total interest amount payable and the processing fee.
Documents Required for Personal Loan for Self-employed
- Loan Application Form
- 2 Passport size photos
- Identity Proof PAN Card or Driving License or Voter ID Card or Adhaar Card, etc.
- Office Residence Proof
- Income Proof: Audited financials for the last 2 years
- Last 6 months Bank Statements
- Employment Proof
- Signature Proof