1. What is HDFC Personal Loan EMI?

The EMI (Equated Monthly Installment) is the fixed payment amount a borrower makes to HDFC Bank each month to repay their personal loan. It includes both principal and interest components.

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 and converted to decimal)
• \( n \) — Loan tenure in months
• \( PMT \) — Monthly EMI payment (INR)

Explanation: The formula accounts for compound interest and spreads the repayment equally over the loan tenure.

3. Importance of EMI Calculation

Details: Calculating EMI helps borrowers understand their monthly repayment obligation, plan their finances, and compare different loan options before borrowing.

4. Using the Calculator

Tips: Enter loan amount in INR, annual interest rate (starting at 10.50% p.a. for HDFC), and loan tenure in months (up to 60 months). All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is HDFC's current personal loan interest rate?
A: HDFC personal loan interest rates typically start at 10.50% p.a. and vary based on credit profile, loan amount, and tenure.

Q2: What is the maximum tenure for HDFC personal loans?
A: HDFC generally offers personal loans with tenures up to 60 months (5 years).

Q3: Are there any prepayment charges?
A: HDFC may charge 0-4% prepayment penalty depending on loan terms and prepayment timing. Check current policy before applying.

Q4: What factors affect my EMI amount?
A: EMI depends on principal amount, interest rate, and loan tenure. Higher principal/rate increases EMI, while longer tenure reduces it.

Q5: How can I reduce my EMI burden?
A: You can opt for a longer tenure (though this increases total interest) or negotiate a lower interest rate based on your creditworthiness.