Reduce EMI or reduce tenure?
You are prepaying part of your home loan. The bank asks: lower the EMI, or finish the loan sooner? Enter your loan and see both, side by side.
Reducing tenure saves this much MORE interest than reducing EMI
—
| Option | EMI | EMIs left | Interest saved |
|---|---|---|---|
| No prepayment | — | ||
| Reduce EMI | |||
| Reduce tenure |
Month-by-month on the reducing balance, the way banks compute it. Your bank's figures can differ by a few rupees.
Did your interest rate change instead, and the bank kept your EMI the same? See the rate-reset version, and get a ready letter to your bank asking for the option you want: Reduce EMI or Tenure calculator on PaisaTools.
Formulas: indian-finance-calc (MIT) · Excel version: free templates · For planning, not financial advice.