Understanding Loan Amortization & EMI Reductions
Making small periodic prepayments toward your loan principal significantly reduces your total interest burden and shortens loan tenure.
Frequently Asked Questions (FAQs)
How is Loan EMI calculated?
EMI is calculated using the standard formula: EMI = [P x R x (1+R)^N] / [(1+R)^N - 1], where P is Principal Loan Amount, R is Monthly Interest Rate (Annual Rate/12/100), and N is Loan Tenure in months.
