Home Loan Prepayment Calculator

See exactly how much interest a lump-sum prepayment saves, assuming your EMI stays the same.

₹
%
Yr
₹
Interest Saved

₹9,88,546

Tenure Reduced By

4y 2m

New Tenure

10y 10m

EMI (unchanged)

₹29,542

What is a Home Loan Prepayment Calculator?

Prepaying part of your home loan reduces your outstanding principal. If you keep your EMI the same after prepaying, the loan simply finishes earlier — and you save all the interest you would have paid during those remaining months.

This calculator compares your original loan payoff against a version where you make a one-time lump-sum prepayment today, showing the interest saved and how much sooner you'd be loan-free.

Two Ways to Use a Prepayment

  • ✓Keep the EMI the same and finish earlier (what this calculator models) — usually the better choice for interest savings.
  • ✓Or reduce your EMI and keep the same tenure — lowers monthly outflow instead of total interest.
  • ✓Most lenders allow prepayment on floating-rate home loans without a penalty.

Frequently Asked Questions

Is there a penalty for prepaying a home loan?+

For floating-rate home loans, RBI rules mean banks generally cannot charge a prepayment penalty to individual borrowers. Fixed-rate loans may still carry a charge — check your loan agreement.

Should I prepay or invest the extra money instead?+

Compare your loan's interest rate against the return you'd realistically expect from investing — if your investment return is meaningfully higher, investing may be the better move, and vice versa.

Does prepayment always reduce my tenure?+

Only if you keep your EMI unchanged after prepaying. If you ask your lender to reduce the EMI instead, your tenure stays the same.