EMI — Equated Monthly Instalment
Loans term
An EMI is the fixed amount you pay your lender every month until a loan is repaid — covering both interest and principal.
Early EMIs are mostly interest and later ones mostly principal, even though the total stays constant. A ₹50 lakh loan at 8.5% over 20 years has an EMI of about ₹43,391.
More loans terms
Reducing BalanceReducing-balance interest is charged only on the outstanding loan balance, which shrinks with every EMI — so the interest portion falls over time.Loan TenureThe tenure is the total length of a loan — the number of months or years over which you repay it.PrepaymentPrepayment is paying off part or all of a loan ahead of schedule, which directly reduces the outstanding principal.CIBIL ScoreA CIBIL score is a 3-digit number (300–900) summarising your credit history, used by lenders to decide whether to lend and at what rate.Floating RateA floating interest rate moves up and down over the life of a loan, tracking a benchmark such as the RBI repo rate.