Reliance Home Finance Loans Home Loan EMI Calculator
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Reliance Home Loan Finance EMI Calculator
Turn your dream of owning a dream house into a reality with Reliance Home Loan Finance. With affordable interest rates and borrower benefitting terms, Reliance Home Loan Finance brings to customers varied types of loan offerings.
| Rate of Interest | Starts at 9.75% p.a |
|---|---|
| Principal Amount |
Rs.7.5 lakh (Minimum) 80% (Maximum) of property cost |
| Processing Fees | Up to 2% |
| Penal Interest Rate | 3% / month |
| Foreclosure/ Prepayment Charges |
floating-rate packages – NIL fixed-rate packages – 2% to 5% |
| Loan Tenure (Maximum) | 20 yrs |
| Rate Packages Available | Fixed/ Floating |
Reliance Home Loan Finance EMI Calculator
EMI or equated monthly installment is a fixed amount of money that a borrower is supposed to regularly pay its lender. This is done to complete the repayment of the loan borrowed. Whenever a loan is availed for any purposes, it needs to be repaid in the form of EMIs. It is usually paid monthly on a fixed date. It is done through either a cheque or online payment. The EMI consists of principal and interest components.
Factors Affecting EMI Calculation:
There are three factors that affect the calculation of EMI. These are listed as below:
- Loan amount: Whenever a loan is availed, principal amount is the most important component. It is the amount that is borrowed by the applicant. Amount of EMI is directly proportional to the principal amount. The higher the loan amount, the bigger is the EMI.
- Rate of interest: Another component whenever a loan is availed is interest rate. It is the amount charged by a lender to the borrower for a debt. It is considered as a percentage of the principal amount. EMIs are directly proportional to rate of interest. The interest is calculated on the basis of several factors like income, repayment capacity, prevailing market situation, credit history.
- Loan Tenure: The loan tenure is the duration of time in which a borrower will repay the loan. EMIs are inversely proportional to loan tenure. Longer duration yields to smaller sums of EMI.
An example showing EMI amount affected by tenure, principal and interest rate is given below:
| Loan Amount | 15 years | 20 years | 25 years |
|---|---|---|---|
| Rs. 30 Lakhs | INR 28,583 | INR 25,000 | INR 21,908 |
| Rs. 60 Lakhs | INR 57,166 | INR 50,000 | INR 43,817 |
| Rs. 90 Lakhs | INR 85,749 | INR 75,000 | INR 65,725 |
| Rs. 1 Crore | INR 95,277 | INR 83,333 | INR 73,028 |
In What Situations Can EMI Change?
In usual situations, EMI does not change. It is only in a few situations that EMI changes, they are listed as below:
- Prepayment of loan – In case a certain part of the principal amount is prepaid, then the outstanding loan amount will be reduced. EMI changes if the loan has been prepaid. When you prepay the loan amount, the principal is reduced and which subsequently reduces the EMI.
- Floating rate of interest – Rate of interest affects the EMI. In case a borrower opts for a floating interest rate, then the EMI changes.
- Progressive EMI – Some lenders allow you to pay progressive EMIs. This is specially allowed on long term loans. This means that you pay a certain sum of money, which increases progressively as salary increases. It helps in faster repayment of loans.
Reliance Home Loan Finance EMI Calculator
Reliance Home Loan Finance EMI Calculator is an online tool that helps people calculate equated monthly installments with a click. It is based on mathematical algorithms and helps calculate EMI in a quick, accurate and hassle-free way. Reliance Home Loan EMI Calculator helps calculate interest amount and repayment structure. This is calculated using loan duration, loan amount and interest rate.
Formula for Reliance Home Loan Finance EMI Calculator is listed below:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
Here, P stands for principal amount whereas R stands for interest rate. The loan tenure is depicted by N.
Why should one use Reliance Home Loan Finance EMI Calculator?
Reliance Home Loan Finance EMI Calculator should be used for the following reasons:
- EMI calculator helps compute EMI at different tenures. Longer the repayment duration, lower will be the EMI amount. The calculator helps compute EMI at different loan tenures and hence helps applicants make informed choices about the terms.
- Reliance Home Loan Finance EMI Calculator helps compare the EMI of Reliance with other leading banks and lending institutions. This helps applicants choose the right lender with them,
- Reliance Home Loan Finance EMI Calculator helps compute the outstanding loan amount. At any point in loan duration, you can calculate the outstanding principal balance along with remaining tenure. This helps you make informed decisions related to balance transfer.
- Reliance Home Loan Finance EMI Calculator helps get a detailed amortization schedule. At different periods throughout the loan tenure, one can calculate the division of total EMIs into interest and principal repayment.
- EMI Calculator helps in loan management. It helps you plan your finances well. This helps an applicant manage their debt well and not getting stuck in a debt cycle. This can help you allocate the funds well that can later be used for prepayment.
- Reliance Home Loan Finance EMI Calculator helps in validating information. Tool helps to verify the EMI calculation and repayment schedule.
- Using an EMI calculator helps facilitate an easy process. It is a simple, quick online tool that helps in calculation.
| YEAR | PRINCIPAL | INTEREST | BALANCE AMOUNT |
|---|---|---|---|
| 1 | ₹ 1,30,953 | ₹ 1,69,831 | ₹ 18,69,046 |
| 2 | ₹ 1,42,882 | ₹ 1,57,902 | ₹ 17,26,164 |
| 3 | ₹ 1,55,898 | ₹ 1,44,886 | ₹ 15,70,265 |
| 4 | ₹ 1,70,100 | ₹ 1,30,684 | ₹ 14,00,165 |
| 5 | ₹ 1,85,595 | ₹ 1,15,188 | ₹ 12,14,569 |
| 6 | ₹ 2,02,502 | ₹ 98,281 | ₹ 10,12,066 |
| 7 | ₹ 2,20,949 | ₹ 79,834 | ₹ 7,91,116 |
| 8 | ₹ 2,41,077 | ₹ 59,707 | ₹ 5,50,039 |
| 9 | ₹ 2,63,038 | ₹ 37,746 | ₹ 2,87,000 |
| 10 | ₹ 2,87,181 | ₹ 13,784 | ₹ 0 |
FAQs
What is a home loan Pre-EMI?
In certain situations, loan amount is disbursed in stages. Rate of interest will be applicable on partly disbursed amounts. Complete EMI will be paid in case full amounts are disbursed and pre-EMI is paid in situations where a part amount has been disbursed.
What are the tax benefits of paying home loan EMI?
Tax benefits of paying home loan EMI can be availed under Income Tax Act, 1961.
Section 80C: You can claim a tax deduction of up to ₹ 1.5 lakh every year on the principal amounts.
Section 24: Under this section, you can claim a deduction of up to ₹ 2 lakh on the interest component each year.
Section 80EE: One can claim an additional interest of up to ₹ 50,000 per year above the amounts mentioned in Section 80C and Section 24.
How can we contact the Reliance Home Loan Finance team for any additional queries?
- Toll Free Number: Dial 1800 300 90909 (toll free)
- Service Queries: Dial 022-3967 1600
- SMS Service: Customers can SMS HOME to 561616
- Email ID: customercare@reliancehomefinance.com