Loan Interest Rate Calculator
These days everyone wants to buy and own all possible gadgets, car and houses. The desire to own these among today’s generation has become high and it is made possible easily these days with the EMI concept.
Earlier people were reluctant to take loans and buy things but now they have reframed the concept as EMI and making it available to the public. It is nothing but the total amount of a product is broken into monthly instalments which are distributed across some no of months within which the cost of the product purchased will be repaid.
But most of the time the customers are cheated by explaining to them monthly payment amount and the total price which looks attractive and give a feel that the customer is actually paying a very less amount every month. But they are not exposed to the hefty interest rate attached to it. Hence interest rate calculator helps one to find out what will be interest rate charged for the purchase of a product.
In an interest rate calculator, they will be asking for three things i.e. (i) loan amount, (ii) loan term and (iii) monthly payments by filling this information the calculator generates the interest rate which will be levied on the customer.
Generally, in the case of house loan or car loan the interest rates are generally revealed and transparent but in the case of buying electronic gadgets these are not revealed and different banks and companies charge different rates. Hence in such cases, it becomes important for one to understand what is interest rate charged for purchasing a product and also do a comparison between different financial institutions regarding which one provides the least interest rate and then make a decision. These are only possible if one have the sufficient information and does interest rate calculation.