Module G • Loan Amortisation & Prepayment
Loan Affordability & Prepayment Planner
Calculate accurate reducing-balance EMIs, test Fixed Obligation to Income Ratio (FOIR) affordability, and simulate how small monthly prepayments can shave years and lakhs of interest off your debt.
Loan DetailsIndian Amortisation
Loan Principal Amount₹50,00,000 (₹50.00 L)
₹1 Lakh₹1 Crore₹2 Crore
Annual Interest Rate (%)8.5% p.a.
Loan Tenure (Years)20 Years (240 months)
Your Monthly Take-Home Salary₹1,20,000
*Used to compute your Fixed Obligation to Income Ratio (FOIR).Calculated Monthly EMI
₹43,391/mo
FOIR: 36.2% (MODERATE)
Principal Borrowed:₹50,00,000
Total Interest Payable:₹54,13,941
Total Amount Repaid:₹1,04,13,941
Prepayment Interest Savings Simulator
Pay Extra ₹2,170 / month
Shaves 2 years 3 months off tenure
Saves ₹7,17,782
in interest
Pay Extra ₹4,339 / month
Shaves 4 years 0 months off tenure
Saves ₹12,51,995
in interest
Pay Extra ₹8,678 / month
Shaves 6 years 6 months off tenure
Saves ₹20,04,062
in interest
Strategic Decision: Balanced Prepayment + Long-Term Equity SIP
Your loan interest rate of 8.5% is relatively low (standard home loan). If you have 80C/24b tax deductions and a 10+ year horizon, disciplined equity mutual fund investments typically yield 11-13% CAGR. Consider making moderate annual prepayments while continuing your monthly SIPs.