1. What is EMI?

EMI (Equated Monthly Installment) is the fixed payment amount made by a borrower to a lender at a specified date each calendar month. EMIs are used to pay off both interest and principal each month.

2. How Does the Calculator Work?

The calculator uses the standard EMI formula:

Where:

• \( P \) — Principal loan amount (INR)
• \( r \) — Monthly interest rate (annual rate ÷ 12 ÷ 100)
• \( n \) — Loan tenure in months
• \( PMT \) — Monthly EMI payment (INR)

Explanation: The formula calculates the fixed payment amount required each month to pay off the loan over the specified term.

3. About Axis Bank Home Loans

Details: Axis Bank offers home loans starting at 6.90% p.a. with flexible repayment options up to 30 years. Loan amounts range from ₹3 lakhs to ₹5 crores based on eligibility.

4. Using the Calculator

Tips: Enter principal amount in INR, annual interest rate (current Axis Bank rate is 6.90%), and loan tenure in years. All values must be valid (principal ≥ ₹10,000, rate between 1-20%, tenure 1-30 years).

5. Frequently Asked Questions (FAQ)

Q1: What is Axis Bank's current home loan interest rate?
A: As of 2023, rates start at 6.90% p.a. for salaried individuals, but actual rates may vary based on credit profile and loan amount.

Q2: Are there any prepayment charges?
A: Axis Bank doesn't charge for prepayment of floating rate home loans from own sources. Fixed rate loans may have prepayment charges.

Q3: What is the maximum loan tenure available?
A: Up to 30 years or till the borrower turns 70 years of age, whichever is earlier.

Q4: What factors affect home loan eligibility?
A: Income, age, credit score, existing obligations, property value, and employment stability are key factors.

Q5: How can I reduce my EMI burden?
A: Opting for a longer tenure, making a higher down payment, or improving your credit score for better rates can help reduce EMI.