Loan Tenure Calculator
Loan tenure is nothing but the number of years for which loan is taken and within which one need to repay their loan borrowed. It can range from 1year to any number of years. The loan tenure depends on multiple factors like the purpose for which it is taken like house, education, car or anything else and the amount for which it is taken. Generally, if it is huge money borrowed for buying or building a house the amount will be huge and also the loan tenure can be some time from 20 to 25years. When the loan duration is long then the EMI paid out monthly will be lesser, however, the total loan amount becomes more and vice versa.
While taking a loan one can use the loan tenure calculator and see what will be the EMI and total loan amount for different loan tenure and make decisions accordingly. Below gives you a clearly explain how the EMI differs based on different loan tenure.
Example: Let us assume that a person is planning to take a house loan amounting to 50lac at an interest rate of 9.95% P.A. with EMI of Rs.53577/- per month, in which case the loan tenure will be 15 years. However, the loan tenure can be decreased or increased for the same loan amount & same interest rate. We have defined it with examples in a table given below.
|If EMI is Rs.||Loan Tenure||Symbol||If EMI is Rs.||Loan Tenure||Symbol|
|53577||15 Years||↔||53577||15 Years||↔|
|48086||20 Years||↑||69937||10 Years||↓|
|45259||25 Years||↑||106112||05 Years||↓|
The above clearly explains how the EMI amount changes as the loan tenure changes. This can be simply calculated with the help of a loan tenure calculator. However before deciding and calculating the loan tenure one must keep in mind some aspects based on which the decision need to be taken. They are the person’s age, income and the surplus one have, the life stage at which the borrower is while planning to take the loan and finally the prepayment clauses.