Paying HDFC Personal Loan EMIs feels good when planned mathematically. You can thus use the HDFC Personal Loan EMI Calculator available on the official website of the bank. Well, the tool is designed to provide you with the EMI and interest for the loan amount you want to meet your financial needs. Let’s read this article and know more about the HDFC Personal Loan EMI Calculator.
What is HDFC Personal Loan EMI Calculator?
An online tool that works on the below formula –
P × r × (1 + r)n/((1 + r)n – 1)
Above, P is your loan amount, r is the interest rate and n is the repayment period. Your repayment depends on these three factors.
How to Access the HDFC Personal Loan EMI Calculator?
You get access to the HDFC Personal Loan EMI Calculator on the bank’s website. So, open your smartphone or laptop and go to the HDFC Bank website. Now, visit the HDFC Personal Loan page and enter details of your loan inside the calculator shown on the page –
After that, click on the ‘Calculate’ button. Upon doing the same, the EMI will display on your screen and so will the repayment schedule in a graphical format by which you can know the total payable principal and interest amount.
Illustration of the HDFC Personal Loan EMI Calculator Usage
Karan needs a lump sum amount for his foreign studies and from a newspaper ad, he came across HDFC Personal Loan. So, he visited the bank branch and asked the representative about the loan. After getting the knowledge about the personal loan, Karan is ready to get the loan. He’s eligible for a loan up to INR 10 Lakh.
HDFC Bank charges 13.00% on the personal loan. Well, Karan takes a smart step and uses the EMI Calculator before completing the loan application. And he finds the below-mentioned results –
- 3 years tenure – EMI – INR 33,694 Interest – INR 2,12,982
- 4 years tenure – EMI – INR 26,827 Interest – INR 2,87,720
- 5 years tenure – EMI – INR 22,753 and Interest – INR 3,65,184
Karan chooses the tenure of three years as the EMI is under his budget and the total payable interest is less compared to the other options.
Sameer also needs a loan for her next vacation. He came across HDFC Personal Loan from a TV advertisement. He visits the HDFC Bank official website and goes through the loan offer. By checking the loan eligibility online, he knows that the maximum loan amount limit is INR 8 Lakh and the lowest personal loan interest rate is 12.25% per annum.
Now, he missed the one important part which is using the EMI calculator. So, now he’s been paying an EMI of INR 21,165 and the total interest outgo is INR 2,15,939 for four years.
You can see from the above example that Karan saves more on interest payout than Sameer because of using the EMI calculator. Although he needs to make some adjustments to his budget. But that will help him clear the loan earlier than Sameer.
Other Utilities of the HDFC Personal Loan EMI Calculator
The online tool can help you reduce the loan amount by giving you an insight on part or full prepayment. Part payment is allowed up to 25% of the loan outstanding only once in a financial year and twice during the loan tenure. This way, you can reduce the interest payout of your loan. Full prepayment clearly means the payment of all outstanding dues to the bank.
To find the right time for full or partial prepayment, use the calculator and check when you will save more money. The closer you’re to the end of the tenure, the lesser the saving will be on part or full prepayment.