Why use an EMI calculator before applying for a personal loan

Business

The personal loan EMI calculator is a user-friendly application for simple and quick calculation of the EMI that you will have to pay. So, if you’re applying for a loan for the first time or have done it previously, this tool can help you plan effectively. It will help you calculate the EMI. you will have to across varied tenors, helping you select a suitable tenor. Through this tool, you can easily calculate how different parameters such tenor, interest rate, and principal amount affect your EMI rates.

Here are some reasons why an EMI calculator is an excellent tool.

1. It forecasts the EMI that you will have to pay

The result from the EMI calculator gives you a clear indication of the EMI that you will have to pay. This helps you make financial provisions accordingly so that you can pay your EMI on time. It helps you plan your finances better during the tenor of the tenor of your loan.

2. It lets you estimate the different EMI for different principals and tenors

In this calculator, you can adjust the principal, tenor, and interest rates to see how the EMI will change. This can help you select an appropriate tenor and principal to ensure that repayment of the loan becomes easy. You can also match these figures with the price of the commodity or service you need financing for, to see how well it caters to your needs.

3. It is faster, more accurate, and easier than performing manual calculations

The calculator is easy to use and provides accurate results every single time. All you have to do is to select the tenor, principal, and interest rate and then click on ‘Calculate’. In a matter of seconds, you’ll have the results. As manual calculation is complex and requires knowledge of the formula, the EMI calculator does the tedious calculations instantly. Using the EMI calculator ensures that all the calculations are error-free.

4. It can be used to compare rates with other lenders

Comparing the features of various loans isn’t enough. You must compare the EMIs too. An EMI calculator allows you to do this easily. It gives you an instant comparison so that you can make a wise decision by identifying a loan with an affordable EMI.

5. It helps you select an appropriate tenor

The tenor, along with the interest rate, determines the value of your monthly EMI. A short tenor usually results in higher EMI but makes the principal easy to clear. A longer tenor gives you the benefit of low EMI but prolongs your financial burden. The calculator shows you the EMI over various tenors. So, you can choose a suitable option with ease.

6. It has a user-friendly interface

This EMI calculator has a simple and user-friendly interface that makes it convenient to use. It features a slider that allows you to choose the tenor, principal, and the interest rate easily. Some calculators also give you a field to enter the exact value.

These are some important ways in which an EMI calculator can help you pick the best loan. Remember, selecting the right tenor and principal are key steps in ensuring that repayment of the loan doesn’t become a burden.

Once you have decided on an appropriate principal, you can apply for a Personal Loan with Bajaj Finserv. One of the best personal loans in the market, it gives you benefits such a nominal rate of interest, flexible tenor, pre-approved offers, and a line of credit.

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