1. What is Total Interest Calculation?

The total interest calculation helps you understand how much extra you'll pay over the life of your Axis Bank personal loan. It's the difference between the total amount repaid and the principal amount borrowed.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( n \) — Number of payment periods (months)
• \( PMT \) — Monthly payment amount (INR)
• \( P \) — Principal loan amount (INR)

Explanation: This formula calculates the total cost of borrowing by multiplying the monthly payment by the number of payments, then subtracting the original loan amount.

3. Importance of Interest Calculation

Details: Understanding total interest helps borrowers compare loan offers, plan finances, and make informed decisions about loan terms and amounts.

4. Using the Calculator

Tips: Enter the loan term in months, your monthly payment amount, and the principal loan amount. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is Axis Bank's personal loan interest rate range?
A: Axis Bank typically offers personal loans at interest rates ranging from 10.49% to 22% p.a., depending on credit profile.

Q2: How can I reduce my total interest payment?
A: You can reduce total interest by choosing a shorter loan term, negotiating a lower rate, or making prepayments when possible.

Q3: Does this include all loan charges?
A: This calculates only the interest component. Additional charges like processing fees may apply.

Q4: How accurate is this calculation?
A: This provides an estimate based on fixed monthly payments. Actual interest may vary with floating rates or payment changes.

Q5: Can I use this for other types of loans?
A: While the formula works for any fixed-payment loan, specific terms may vary for home, car, or education loans.