EMI Calculator — Monthly Loan Payment Instantly

← Ledger HarborThe Creative Island · Island 06

Before you sign any loan — know the exact monthly payment and the total interest hiding inside it.

Loan amount ৳

Interest rate (% per year)

Term (months)

How to use this tool

1. Enter the loan amount you plan to take.
2. Enter the yearly interest rate the bank quoted and the term in months.
3. Press Calculate EMI — see the monthly payment and the total interest.

Example

Loan 500,000 ৳ at 9% yearly for 36 months: EMI ≈ 15,900 ৳/month. Total repaid ≈ 572,400 ৳ — the loan really costs 72,400 ৳ in interest.

The formula

EMI = P × r × (1+r)^n ÷ ((1+r)^n − 1), where r = yearly rate ÷ 12

What the result means

The EMI formula is the standard reducing-balance method used by banks: interest is charged on the remaining balance, so early payments are mostly interest and later ones mostly principal. The 'interest inside the loan' figure is the honest price of borrowing — compare it against what the loan earns you before signing.

Frequently asked questions

Is this the same formula my bank uses?

Yes — the standard reducing-balance EMI formula used by virtually all banks and NBFCs. Small differences come from fees, rounding or day-count conventions.

Why is the total interest so high on long loans?

Interest compounds on the outstanding balance every month. Doubling the term usually more than doubles the total interest — try 36 vs 60 months in the tool and see.

What is the 0% rate for?

Some instalment plans genuinely charge no interest (the profit is hidden in the price). Set rate 0 to see the pure principal split.

Can I trust it for a big decision?

Use it to compare and plan, then confirm the final figure with the bank's own schedule — fees and insurance can change the real number.

More tools from Ledger Harbor

ROI CalculatorWhat your money earnedBreak-even CalculatorHow many to sellProfit Margin CalculatorYour real marginVAT CalculatorAdd or remove VAT

Explore the island world

• Ledger Harbor — the island where this tool lives.
• The Main Island — drive the boat, explore the whole world.
• The 90s Kids Island — where most of us started.

Privacy & data: this tool runs entirely in your browser — nothing you type is uploaded, saved or sent anywhere. · Disclaimer: this tool is for guidance only, not financial advice — for important business or loan decisions, consult a qualified professional. · Privacy Policy · Disclaimer