1. What is the EMI Calculation?

The Equated Monthly Installment (EMI) calculation determines your fixed monthly payment for a home loan. Groww platform offers competitive rates starting at 6.70% p.a. for HDFC home loans.

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 divided by 12 months)
• \( n \) — Loan tenure in months
• \( PMT \) — Monthly EMI payment (INR)

Explanation: The formula accounts for both principal repayment and interest payment components in each EMI.

3. Importance of EMI Calculation

Details: Accurate EMI calculation helps in financial planning, determining loan affordability, and comparing different loan offers.

4. Using the Calculator

Tips: Enter principal amount in INR, annual interest rate (Groww offers rates starting at 6.70% p.a.), and loan tenure in years. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is the current interest rate for HDFC home loans via Groww?
A: Rates start at 6.70% p.a. but may vary based on loan amount, tenure, and applicant's credit profile.

Q2: How does EMI change with different tenures?
A: Longer tenures reduce EMI but increase total interest paid. Shorter tenures increase EMI but reduce total interest.

Q3: Are there any prepayment charges?
A: This depends on the lender's policy. Many lenders allow partial prepayments after a lock-in period.

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

Q5: How accurate is this calculator?
A: This provides a close estimate, but final EMI may vary slightly due to rounding and specific lender policies.