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 so that over time, the loan is paid off in full.

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 calculates the fixed payment amount that includes both principal and interest components.

3. About ICICI Home Loans

Details: ICICI Bank offers home loans starting at 6.70% p.a. interest rate with flexible tenures up to 30 years. The actual interest rate may vary based on applicant profile and market conditions.

4. Using the Calculator

Tips: Enter the loan amount in INR, annual interest rate (default is 6.70%), and loan tenure in years. The calculator will show your monthly EMI, total repayment amount, and total interest payable.

5. Frequently Asked Questions (FAQ)

Q1: What factors affect my home loan EMI?
A: EMI depends on loan amount, interest rate, and loan tenure. Higher loan amounts or rates increase EMI, while longer tenures reduce EMI.

Q2: How can I reduce my home loan EMI?
A: You can reduce EMI by opting for a longer tenure, making a larger down payment (reducing principal), or negotiating a lower interest rate.

Q3: Does ICICI Bank charge prepayment penalties?
A: ICICI Bank allows prepayment of floating rate home loans without penalty. Fixed rate loans may have prepayment charges.

Q4: What is the maximum tenure for ICICI home loans?
A: ICICI Bank typically offers home loan tenures up to 30 years, subject to applicant's age and retirement age.

Q5: Are there tax benefits on home loan EMIs?
A: Yes, principal repayment is eligible for deduction under Section 80C, and interest payment under Section 24(b) of Income Tax Act.