A home loan prepayment reduces the outstanding principal earlier than originally scheduled. Depending on lender rules, this may shorten the remaining tenure or lower future EMIs.
How to use this calculator
Enter the requested values, review the assumptions shown by the tool and select Calculate. Try more than one scenario to understand how changes to your inputs affect the estimated result.
What to consider
Before prepaying, check your loan’s outstanding balance, remaining term, rate type and any applicable charges. Compare interest savings with the need to maintain emergency savings.
Frequently asked questions
Is reducing EMI or tenure better?
Keeping the EMI unchanged and reducing tenure often saves more interest, while lowering EMI can improve monthly cash flow. The right choice depends on your finances.
Related calculators
You may also find the Home Loan Calculator and EMI Calculator useful.
Educational estimates only. Not financial, investment, legal or tax advice. Verify applicable rules and figures before making decisions.