Loan Comparison Calculator
Compare two loan offers: EMI, total interest, processing fee and APR side by side
| Loan A | Loan B | B ā A | |
|---|---|---|---|
| Loan amount | ā¹5,00,000 | ā¹5,00,000 | Same |
| Interest rate | 11% | 10.5% | -0.5% |
| Tenure (months) | 60 | 60 | Same |
| Monthly EMI | ā¹10,871.21 | ā¹10,746.95 | -ā¹124.26 |
| Total interest | ā¹1,52,273 | ā¹1,44,817 | -ā¹7,456 |
| Processing fee + GST | ā¹5,900 | ā¹17,700 | +ā¹11,800 |
| Total cost (interest + fee) | ā¹1,58,173 | ā¹1,62,517 | +ā¹4,344 |
| Total paid | ā¹6,58,173 | ā¹6,62,517 | +ā¹4,344 |
| APR incl. fee | 11.52% | 12.08% | +0.56% |
Runs entirely in your browser. Nothing you type or upload is sent to us or stored.
Results are estimates, not financial advice. Rates, charges and rules change, so confirm with your bank, post office or a financial adviser before you decide. Terms of use
How to Use
- For Loan A, enter the amount, interest rate, tenure in years and the processing fee as a % of the loan.
- Do the same for Loan B, the other offer you're considering.
- Keep 18% GST on processing fees on, unless the fees you entered already include GST.
- The cheaper loan and the difference in rupees update as you type, with each loan's EMI, total cost and APR.
- Scroll down for the cost chart and the side-by-side table, and use share to send the comparison to someone.
Comparing two loan offers properly
When two banks or NBFCs offer you a loan, the one with the lower interest rate isn't always cheaper. A higher processing fee, GST on that fee, or a different tenure can change the answer. This loan comparison calculator puts two offers side by side and adds up what each will really cost you: all the interest over the tenure plus the upfront fee. It works for personal, home, car, education or any other EMI loan.
What is calculated
Total interest = EMI Ć n ā P
Fee = P Ć fee % Ć 1.18 (with GST)
Total cost = total interest + fee
P is the loan amount, r the yearly rate Ć· 12 Ć· 100 and n the tenure in months. The tool also finds each loan's APR (annual percentage rate): the interest rate at which the money you actually receive (the loan minus the fee) is repaid by those EMIs. APR is the fairest single number for comparing loans, especially when the amounts or tenures differ.
Worked example
You need a ā¹5,00,000 personal loan for 5 years and have two offers:
| Loan A | Loan B | |
|---|---|---|
| Interest rate | 11% | 10.5% |
| Processing fee | 1% + GST = ā¹5,900 | 3% + GST = ā¹17,700 |
| Monthly EMI | ā¹10,871 | ā¹10,747 |
| Total interest | ā¹1,52,273 | ā¹1,44,817 |
| Total cost (interest + fee) | ā¹1,58,173 | ā¹1,62,517 |
| APR | 11.52% | 12.08% |
Loan B has the lower rate and a ā¹124 smaller EMI, so it saves ā¹7,456 in interest. But its fee is ā¹11,800 higher. Overall, Loan A is cheaper by ā¹4,344, and its APR is lower too. If you expect to close the loan early, the fee matters even more, because you pay all of it upfront but save interest only for the months the loan runs.
Costs to check beyond the rate
| Charge | What to ask |
|---|---|
| Processing fee | % of the loan, minimum and maximum, and whether GST is extra |
| Prepayment / foreclosure charges | Not allowed on floating-rate loans to individuals for non-business use; fixed-rate loans may carry a charge |
| Insurance bundled with the loan | Is it optional? Its premium adds to the cost |
| Rate type | Fixed or floating; a floating rate can rise or fall during the loan |
Tips
- Compare the Key Fact Statement. Lenders must give you a KFS with the APR and all charges before you sign. Use it to fill in this tool.
- Same tenure, same amount gives the clearest comparison. If they differ, look at the APR rather than the total cost.
- A longer tenure lowers the EMI but raises the total interest. Pick the shortest tenure whose EMI you can comfortably pay.
- Negotiate the fee. Banks often reduce or waive processing fees for existing customers or during offers.