How EMI is calculated
The monthly payment is based on the loan amount, the yearly interest rate divided into monthly rates, and the number of monthly payments. A longer tenure lowers the payment but increases the total interest.
Ways to reduce interest
- Choose the shortest tenure you can comfortably afford.
- Compare rates from several lenders.
- Check whether part-prepayment is allowed and what it costs.
Does this include processing fees?
No. Add fees separately when you compare offers.