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Loan EMI calculator

Enter the loan, the yearly rate and the number of months to see the monthly instalment and the total interest.

Published by DirhamKit · [Last reviewed date]

Monthly instalment0.00
Total you pay0.00
Total interest0.00
Fill in the form to see the working.

An estimate. A lender's own figure can differ because of fees, insurance and how it rounds. Nothing you type is stored or sent anywhere.

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How is a monthly loan instalment worked out?

With a reducing-balance rate, the instalment is P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is the loan, r is the monthly rate (yearly rate ÷ 12) and n is the number of months.

LoanAED 100,000.00
Rate and term5% a year, 12 months
Monthly instalmentAED 8,560.75
Total interest (8,560.75 × 12 − 100,000)AED 2,729.00

What is the difference between a flat rate and a reducing-balance rate?

A flat rate charges interest on the full loan for the whole term. A reducing-balance rate charges interest only on what you still owe, so the same number costs less in interest.

Comparing a flat rate with a reducing-balance rate as if they were the same. A 5% flat rate costs more than a 5% reducing-balance rate. Ask your lender which kind the offer uses.

Questions people ask

Is what I type stored or sent anywhere?

No. The sum runs in your browser and nothing is sent to us.

Does this include fees or insurance?

No. It only works out principal and interest. Add any fees your lender charges yourself.

Why is my bank's figure a little different?

Banks may round differently, charge fees, or count the days between payments. Treat this as an estimate and use your loan offer as the final figure.

Reviewed by

DirhamKit editorial · [Last reviewed date]

Sources

These are standard maths formulas. They do not depend on a UAE rule.

General information and estimates, not tax, legal or financial advice.