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Loan Prepayment Calculator

Calculate interest saved and tenure reduction by prepaying your loan.

Original loan amount

Your loan's interest rate

Original loan tenure

After 5 years 0 months

Additional amount to prepay

💡 Tip: Prepayment can significantly reduce interest and tenure. Check with your bank for any prepayment penalties.

Disclaimer

Calculation assumes prepayment reduces tenure. Some banks may allow reducing EMI instead. Check your loan agreement.

Loan Prepayment Benefits

Understand how much interest and time you can save by prepaying your loan.

Interest Savings

Total interest you can save with prepayment

Tenure Reduction

How many months/years you can reduce the loan tenure

New Maturity Date

Your loan will be paid off earlier

Total Cost Comparison

Original vs new total payment amount

Pro Tips

  • Prepayment reduces the outstanding principal amount
  • Less principal means less interest charged in future months
  • Both tenure and EMI can be reduced (check with bank)
  • Prepay when loan interest rate > your investment returns

Important Notes

Some banks charge prepayment penalty (usually 1-3% of outstanding amount)

Check your loan agreement for prepayment clause

If EMI is reduced: Monthly payment decreases, tenure remains same

If tenure is reduced: Monthly payment stays same, loan ends early

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