1. What is the Axis Home Loan Amortization Calculator?

The Axis Home Loan Amortization Calculator helps you understand your monthly payments and the breakdown of principal vs. interest over the life of your home loan. It's based on Axis Bank's current home loan rates starting at 6.90% p.a.

2. How Does the Calculator Work?

The calculator uses the standard loan payment formula:

Where:

• \( P \) — Principal loan amount (INR)
• \( r \) — Monthly interest rate (annual rate ÷ 12 ÷ 100)
• \( n \) — Total number of monthly payments (years × 12)
• \( PMT \) — Monthly payment amount (INR)

Explanation: The formula calculates the fixed monthly payment required to fully repay a loan over its term, including both principal and interest components.

3. Importance of Amortization Calculation

Details: Understanding your amortization schedule helps you see how much of each payment goes toward principal vs. interest, plan prepayments, and evaluate different loan terms.

4. Using the Calculator

Tips: Enter your loan amount in INR, the annual interest rate (Axis Bank's current rates start at 6.90%), and loan term in years. The calculator will show your monthly payment and total interest.

5. Frequently Asked Questions (FAQ)

Q1: What is Axis Bank's current home loan rate?
A: Rates start at 6.90% p.a. (as of 2024) but may vary based on loan amount, tenure, and applicant profile.

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

Q3: Does this include processing fees and other charges?
A: No, this calculates only the principal and interest components. Axis Bank may charge processing fees (0.50-1.00% of loan amount).

Q4: Can I change the payment frequency?
A: This calculator assumes monthly payments. For quarterly or other frequencies, the calculation would differ.

Q5: Are there prepayment penalties?
A: Axis Bank typically allows prepayments after 6 months with nominal charges, but check current terms.