In these uncertain times, one thing that you can certainly have is your home. Your own home that will keep you safe and financially secured. You need not spend all your savings in one go. The best option to go for is a bank loan. Applying for a bank loan can be one of the biggest decisions you make in your entire life. So, it is very important to understand the process well and make informed decisions.
Thinking of applying for a home loan? But worried about how you will manage the EMIs? It’s time you stop worrying and take a step to turn your dreams of owning a home into a reality. How?
With an Online EMI calculator. It is a tool that is available online, free of cost, and lets you plan your monthly installments better. EMI is calculated using the amount of the loan, the number of EMI payments you will have to make (for how many years and months), and how much interest you will have to pay. And this calculation, if done manually, can be very taxing and complicated. That’s why using an EMI calculator makes a lot more sense. Mostly all banks have an online EMI calculator tool on their websites. All you have to do is visit their website, and enter some details like the total amount of loan you need, interest rate, and tenure. And you will get the results within seconds.
Home loan EMI calculator in detail
You will find an online EMI calculator on mostly all bank websites that offer best home loan facilities. It is a tool where you enter the principal amount, tenure you want to keep for the repayment, and the rate of interest. When you enter the details, you get the monthly EMI amount you have to pay.
The interface is quite simple and user-friendly, and easily adjustable by the users. For instance, you can choose the amount of the loan you want to get using the slider or just enter the amount manually. If it is tenure, again, you can use the slider or just enter the number of months you need to pay back your loan. When it comes to entering the rate of interest, it depends on your bank. You can add the number that your bank has quoted or just play around with the numbers to find the rate of interest you would be comfortable with. Just make sure the rate of interest value is added to the last decimal. Once this is done, you just need to enter ‘calculate’ and you will get your EMI.
How can a home loan EMI calculator help you with better financial planning?
A home loan is a long-term commitment; when you take a home loan, you will be taking at least 20-30 years to repay the amount. For example, you take a loan of 50 lakhs, and the average monthly EMI is 30,000. This will make a huge impact on your monthly expenses. And that’s why it becomes necessary to plan your expenses better. Here is when the Loan EMI calculator comes to help. It helps you with the detailed breakup of your EMIs so that you know the monthly outflow and plan accordingly.
When there was no EMI calculator, people had to talk to the agents and bank representatives to understand the EMI and its break-up. It also meant talking to people for hours and spending too much time calculating. But with EMI calculators so easily available on bank websites, you can easily get to know how much monthly EMI you need to set aside.
Having an idea of your EMI can help you plan your monthly budget more effectively. A homeThe home loan EMI calculator allows you to easily check your EMI from the comfort of your home, thus avoiding awkward moments. The calculator can help you determine, based on your current earnings, if you can pay your EMIs or not. If you take the loan and later realize you can’t pay the EMIs, then it will be a huge problem for you..
There are more benefits of using a home loan EMI calculator.
Plan your future expenses
When you know how much money you need to pay as an EMI, it becomes easier for you to manage other monthly expenses.
Get the right lender
There are various lenders in the market, and all of them have different interest rates, different EMI options, and different tenure. Even a small difference in the interest rate can make a huge difference. With an EMI calculator, you can check out all the options and see what’s the best one for you.
Choose the right loan amount
Once you know how much EMI you want to pay, you can even adjust your loan amount according to that. This will help you reduce the burden in the long run.
The most exciting part about the home loan EMI calculator is it lets you play with numbers. You can enter any amount as you wish and check out the EMI. The calculator is even available for free, which means you can easily access it whenever you want. Calculating different EMI options allows you to choose whether to take out the loan now or two years from now. You can reduce the amount of the loan or even increase it if you wish. There are plenty of home loan EMI calculators available these days that you can use on your laptop and smartphone.