EMI Comparison — ₹50 Lakh Personal Loan at Various Tenures
| Tenure | Monthly EMI | Total Interest | Total Payment |
|---|
Frequently Asked Questions
EMI = P × r × (1+r)ⁿ / [(1+r)ⁿ − 1], where P = principal loan amount, r = monthly interest rate (annual rate ÷ 12 ÷ 100), n = total months. For ₹50 lakh at 12%, the EMI varies by tenure — see the comparison table above.
Yes — prepayment reduces the principal balance, which significantly reduces total interest paid. Even a small prepayment in early years (when most EMI goes toward interest) can save lakhs in interest and reduce tenure by months to years.
Personal loan and car loan interest are generally not tax deductible for salaried individuals, unless used for business or income-generating purposes.