Using
an EMI Calculator is
extremely beneficial - however, thousands of borrowers go ahead with their loan
processes without even knowing that a tool like this exists. Keeping this in
mind, the following article will tell you everything you need to know about
these calculators, including how it works, where to find one and the benefits
of using one before you apply for your home loan.
So firstly,
what is an EMI Calculator?
It’s
a simple online tool that provides you a complete break-up of your repayments
in seconds. Just feed it with the specifics of your home loan - such as the
loan amount, the tenure & the interest rate. Once you’ve submitted the
details, complex algorithms will do the math for you and give you a tabularized
breakdown of your entire repayment schedule – from the very first EMI to the
very last one.
Where do you
find these calculators?
Well,
the internet is full of them. You just have to access your web browser, type in
‘EMI Calculator’ and hit enter. All
major lenders have a calculator as do most renowned home loan aggregator sites.
You should be able to find one without much of a hassle. The best part is that
you don’t even need to pay to use these tools, anyone can use them without
paying even a single penny, and you won’t even have to provide your personal
details or subscribe to any sort of newsletter.
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| EMI Calculator |
What are the benefits of using one?
The
benefits are multifold. Firstly, knowing the EMI amount will help you
understand your home loan affordability. If the EMI is too high, it simply
means you cannot afford to apply for such a large loan amount. You can keep
cutting back on the loan amount until the EMI provided by the calculator is
financially viable for you.
The
next benefit is error-free and next to accurate results. The kind of results
you’d have to spend at least a couple of hours to compute on your own. And even
if you do take the math into your own hands, there’s always a chance that
there’s an error in your workings that you don’t even know about. This might
lead to planning based on incorrect calculations. An EMI Calculator gives you peace of mind from such a scenario.
Finally,
with the entire repayment schedule tabularized and neatly laid out before you,
making financial plans to tackle the repayment phase becomes super easy. You
know the EMI amount, allowing you slash unwanted expenses and adjust your
monthly expenses to create space to accommodate the monthly payments of your
home loan.
Are there
other calculators?
Yes,
there calculators to help you calculate your eligibility – this is essential
before applying for a loan. It could save you from potential loan rejections
and wasted processing fees. Then there are affordability calculators that help
you with your home purchase budgeting and purchase. Some lenders also have
Length Conversion calculators that help you get a better sense of a property’s
dimensions.
