💡 What is an EMI?

EMI (Equated Monthly Installment) is the fixed monthly payment you make to repay your loan. It includes both principal and interest, allowing you to repay the loan over a chosen tenure.

🔢 How is EMI Calculated?

The EMI is calculated using this formula:

EMI = [P x R x (1+R)^N] / [(1+R)^N - 1]

• P = Principal loan amount
• R = Monthly interest rate (annual rate divided by 12 x 100)
• N = Number of monthly installments (tenure in months)

This formula ensures that your monthly payment remains fixed while adjusting the principal and interest proportion over time.

📊 Why Calculate EMIs in Advance?

• Helps you plan your monthly budget efficiently
• Avoids repayment stress by choosing the right tenure
• Allows comparison between lenders for the best interest rates
• Provides clarity on the total interest and repayment amount

🛠️ How FreeBox’s EMI Calculator Helps You

FreeBox’s Loan EMI Calculator makes financial planning easy by providing:

• Instant EMI calculation for any loan amount, interest rate, and tenure
• Pie chart visualization of principal vs. interest
• Option to download EMI summary as PDF
• Mobile-friendly, fast, and free to use