Looking to get a personal loan? Use an EMI calculator before you apply

By Team Newsable | First Published May 29, 2020, 7:47 PM IST

A personal loan EMI calculator is a tool that helps you compute your EMIs basis the loan amount, tenor, interest rate, and current financial obligations that you may have.

With rapid technological developments in the financial industry, availing a personal loan is now easier than ever. The hassle-free nature of the loan, minimal documentation, and online processes have boosted its popularity significantly, making it one of the preferred solutions for addressing financial needs.

However, before you apply for a personal loan, it is important that you think through the repayment. Have you paid attention to the instalment amount that you can afford? Thankfully, there are online personal loan EMI calculators to help with this.

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A personal loan EMI calculator is a tool that helps you compute your EMIs basis the loan amount, tenor, interest rate, and current financial obligations that you may have. In fact, most leading lenders offer end-to-end services and easy tools to make the overall borrowing experience seamless.

Bajaj Finance Limited, the lending and investing arm of Bajaj Finserv, and one of the most diversified non-banking finance companies offers personal loans that you can use to meet all your financial needs. You can visit their website to access their personal loan EMI calculator and check the EMI you may be likely to pay.

Here are some interesting features that an online EMI calculator offers you:

Removes the possibility of making errors in EMI calculations
There are different ways of calculating your EMIs, two of them being manual calculation and by using Microsoft Excel. Both these ways can be quite tricky and may leave room for error. While when you use a personal loan EMI calculator, all you must do is feed in the required values to get the result without any error whatsoever.

Helps compare lenders and their offerings
Even a change in the decimal value of interest rate can make considerable difference in the overall cost of your loan. By entering the interest rate offered by different lenders, you can easily see the difference in the EMI outflow and choose an affordable option conveniently. This becomes another reason why you should use a personal loan EMI calculator before applying.

Informs you about the overall cost of the loan
This tool helps you calculate your total interest, your monthly instalments and your total amount payable. Based on these three costs, you can determine if the loan is suitable and affordable. Further, such information can also assist you in reconsidering the amount you need, which may lead to more feasible financial decision.

Helps you plan your loan repayment
Change the values of loan amount or tenor and keep the interest rate constant to arrive at a suitable EMI. When you calculate your EMIs using the calculator, you also get to see the amortisation table. This is a detailed breakup of the interest and principal components in each EMI. This way you can plan your finances and manage your loan repayment better.

These are among the several reasons why you should use a personal loan EMI calculator. Once you decide on a loan amount as per your need and affordability, go for a lender which offers you the best features.

A Bajaj Finserv Personal Loan stands out because it offers quick disbursal on funds up to Rs.25 lakh at attractive interest rates and flexible repayment tenor of up to 60 months.

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