Education Loan EMI Calculator by Interest First

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21742
414545
1000000
1414545
414 K
(4 Lac)
6
Year
1,000,000
352 K
(3 Lac)
Year
Original
21742 will be EMI for 1000000 (1 m/10 Lac) Loan Amount for 6 Year Loan Tenure at 11.00% Rate of Interest.

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Education Loan EMI by Interest First

An Education Loan EMI by Interest First involves paying only the interest on the loan during the initial phase, with the principal repayment starting later. This structure allows for lower payments at the beginning, which can ease financial pressure during the study period. Once the interest-only period ends, regular EMIs that include both principal and interest are scheduled for the remaining loan term. This type of loan is particularly beneficial for students who expect their income to increase after completing their education, as it offers initial financial relief during the study period. Calculate your education loan EMI effortlessly with our Education Loan EMI Calculator by Interest First. Get precise details of your monthly payments, interest, and principal, so you can focus on your studies with peace of mind.

Calculate Education Loan EMI by Interest First

  1. Enter loan details like loan amount, interest rate, tenure, and balloon payment amount to calculate education loan EMI by interest first.
  2. Click Calculate to view your initial breakdown and calculate education loan EMI by interest first based on your inputs.
  3. Customize payment options with three inputs to optimize your education loan EMI by interest first.
  4. Add extra EMIs per year to reduce your education loan EMI tenure.
  5. Increase EMIs by a percentage to manage your education loan EMI effectively.
  6. Enter a lump sum payment in a specific year to lower your education loan EMI interest.
  7. Adjust inputs as needed and click Recalculate to update your tenure and interest dynamically.

Interest First EMI formula

To calculate Education Loan EMI, use the Interest First EMI formula for precise results. This calculation helps you understand your repayment obligations clearly.
I O E M I = P × r 12
E M I = P × r ( 1 + r ) n ( 1 + r ) n 1
EMI = Equated Monthly Installments
P = loan amount.
IOEMI = Interest only period EMI.
r = monthly interest rate.
n = total number of monthly installments.

Eligibility Criteria for Education Loan EMI by Interest First

Applicant's Age: The student must typically be between 18 and 35 years old to qualify for an education loan EMI.
Academic Record: A strong academic background is often required, with proof of admission to a recognized institution for the education loan EMI by interest first.
Co-applicant: A co-applicant, usually a parent or guardian, with a stable income source is required to support the loan application for education loan EMI.
Repayment Capability: The co-applicant's income and financial stability are assessed to ensure the ability to repay the education loan EMI.

Education Loan EMI Calculator by Interest First FAQ

How does Interest First EMI differ from a regular EMI?
In a regular EMI, both principal and interest are paid together from the start of the loan tenure, resulting in fixed payments that include both components. In an Interest First EMI, you pay only the interest during an initial period, and principal repayment starts only after this interest-only phase ends. This structure initially reduces monthly payments but results in higher payments once the principal repayment phase begins.
How does an Education Loan EMI by Interest First benefit borrowers?
Education loan EMI by interest first offers lower initial payments, making it easier to manage education expenses. This method provides flexibility for students or families to allocate resources to other needs while studying.
What are the risks or drawbacks of an Education Loan EMI by Interest First?
Education loan EMI by interest first provides short-term relief but can lead to higher overall interest costs, as deferred interest is added to the principal. With the principal unpaid initially, borrowers may pay more over the loan term compared to loans with immediate principal repayments.
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