ManyLoan Prepayment Calculator
Pay a little extra each month and see how many years — and how much interest — it takes off your loan.
| Extra / month | You pay | Cleared in | Sooner by | Interest saved |
|---|
Savings grow faster than the extra amount, because money paid early stops earning interest for the whole remaining life of the loan.
Full repayment schedule
Interest on a home, car or personal loan is charged on whatever you still owe, so anything you pay above the EMI comes straight off the principal and stops accruing interest for the rest of the loan. That is why a modest top-up early on removes years from the tenure. This calculator keeps your EMI fixed and shortens the loan, which is the option that saves the most; it assumes a reducing-balance loan and no prepayment penalty.
How much time does paying extra EMI save?
More than most people expect. On a ₹50 lakh loan at 8% over 20 years, about ₹8,000 extra a month clears it roughly six years early. Put your own numbers in above for the exact figure.
Should I reduce the tenure or the EMI?
Reduce the tenure. Keeping the EMI the same and finishing early is what saves the interest; lowering the EMI instead keeps you borrowing for the full original term and hands most of the benefit back to the lender.
When is prepaying most effective?
As early as you can. The opening years of a loan are almost entirely interest, so the same lump sum paid in year two is worth several times what it saves in year twelve.
My bank won't accept a small part-payment — does that change things?
Many lenders set a floor, often one full EMI, on each part-payment. Set that floor above and the calculator holds what you put aside until it clears the bar, then pays it in as a single lump — so ₹8,000 a month against a ₹41,822 minimum goes in as roughly ₹48,000 every sixth month. You still save a great deal, just slightly less than paying monthly would, because the money sits idle while it builds up.
Will my bank charge me for prepaying?
In India, lenders may not charge a prepayment penalty on floating-rate home loans taken by individuals. Fixed-rate and some other loans can carry a charge — check your sanction letter. No penalty is included here.