Loan Prepayment Calculator

See how much interest you save and how much sooner you close your loan with a one-time or recurring extra payment toward principal.

Your loan and prepayment details

Outstanding loan amount

Remaining tenure (months)

Interest rate (%)

Optional. Leave at 0 to auto-calculate from the details above.

Current EMI

Prepayment type

Prepayment amount

Prepay in month

After prepayment

Your savings from prepaying

Interest saved

Reduce tenure

₹9.63 Lakhs

₹9,63,480

Your loan closes in 11 years instead of 15 years, saving ₹9,63,480 in interest.

Original EMI

₹30,428

EMI stays the same

₹30,428

Loan closes in

11 years

4 years sooner

Total interest with prepayment

₹15.14 Lakhs

₹15,13,560

down from ₹24,77,040

Outstanding balance over time

Frequently asked questions

Prepayment means paying an extra amount toward your loan principal, on top of your regular EMI. Since interest is charged on the outstanding balance, a lower balance means less interest builds up for the rest of the loan, whether you pay it off sooner or lower your EMI.

Reducing tenure (keeping the EMI the same) saves more total interest, since the loan closes sooner. Reducing EMI (keeping the original payoff date) doesn't save as much interest, but it lowers your monthly outgo, which helps if cash flow matters more to you than the total interest bill. Try both modes above to compare.

A recurring extra payment usually saves more total interest than a single lump sum of the same size, since each extra rupee starts reducing the balance (and the interest charged on it) earlier and every month, rather than just once. But a lump sum is easier to arrange from a bonus or windfall, while a recurring payment needs sustained monthly discipline.

For floating-rate home loans, RBI rules prohibit lenders from charging individual borrowers a prepayment penalty. This covers most home loans. Fixed-rate loans, personal loans, and loans from some NBFCs may still charge a foreclosure or prepayment fee, so check your loan agreement before making a large prepayment.

The calculator treats this as a full foreclosure: your loan closes the month the prepayment is applied, and you stop paying interest from that point on. There's no need to prepay more than what you actually owe.

Earlier is better. In the first few years of a loan, most of your EMI goes toward interest rather than principal, so a prepayment made early cuts off more future interest than the same amount paid later, when the outstanding balance is already smaller.

Related calculators

Interest saved compares total interest paid over the life of the loan, with and without the prepayment. Floating-rate home loans carry no prepayment penalty under RBI rules; fixed-rate, personal, and some NBFC loans may still charge one, so check your loan agreement before prepaying a large amount.

Loan Prepayment Calculator

See how much interest you save and how much sooner you close your loan with a one-time or recurring extra payment toward principal.

Your loan and prepayment details

Outstanding loan amount

Remaining tenure (months)

Interest rate (%)

Optional. Leave at 0 to auto-calculate from the details above.

Current EMI

Prepayment type

Prepayment amount

Prepay in month

After prepayment

Your savings from prepaying

Interest saved

Reduce tenure

₹9.63 Lakhs

₹9,63,480

Your loan closes in 11 years instead of 15 years, saving ₹9,63,480 in interest.

Original EMI

₹30,428

EMI stays the same

₹30,428

Loan closes in

11 years

4 years sooner

Total interest with prepayment

₹15.14 Lakhs

₹15,13,560

down from ₹24,77,040

Outstanding balance over time

Frequently asked questions

Related calculators

Loan Prepayment Calculator

Frequently asked questions

What is loan prepayment?

Should I reduce my tenure or reduce my EMI after prepaying?

Is a one-time lump sum or a recurring monthly extra payment better?

Are there charges for prepaying a loan in India?

What happens if my prepayment is larger than my outstanding balance?

When during the loan tenure does prepayment save the most interest?

Loan Prepayment Calculator

Frequently asked questions

What is loan prepayment?

Should I reduce my tenure or reduce my EMI after prepaying?

Is a one-time lump sum or a recurring monthly extra payment better?

Are there charges for prepaying a loan in India?

What happens if my prepayment is larger than my outstanding balance?

When during the loan tenure does prepayment save the most interest?