Calculate monthly EMI, total interest, and total payment for product financing or business loans.
The calculator uses the standard reducing-balance EMI formula: EMI = P x r x (1+r)^n / ((1+r)^n - 1), where P is the loan/principal amount, r is the monthly interest rate (annual rate divided by 12, as a decimal), and n is the number of monthly instalments. It then shows total payment (EMI x n) and total interest (total payment minus principal). Use it for business loans, equipment finance, or customer EMI offers.
For a shop-fit-out loan of ₹5,00,000 at 12% annual interest over 36 months: monthly rate r = 0.01, n = 36, giving an EMI of about ₹16,607, a total payment of about ₹5,97,852, and total interest of about ₹97,852.
It uses reducing-balance (diminishing) interest, which is how most Indian bank and NBFC loans work. Flat-rate schemes charge more overall, so always confirm which type your lender is quoting.
Yes. Enter the product price as principal, the financier's interest rate, and the tenure to see the customer's monthly instalment before you promote a No-Cost or standard EMI offer.
No. Enter the GST-inclusive purchase price as the principal if you want the EMI to cover tax. The calculator does not add GST on its own.
A longer tenure lowers the monthly EMI but increases total interest paid. Compare a few tenures here and pick the shortest EMI your monthly cash flow can comfortably support.
Commmerce POS supports split payments, EMI, and Khata credit ledgers for your customers.
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