EMI can be of two types: EMI in advance
and EMI in arrears
. Lets look at them one by one.
EMI in advance
: This EMI is payable at the starting period of loan at the beginning of every month. This is also called Front loaded EMI
EMI in arrears:
This EMI is payable at the end of every month. This is also called Rear-Ended EMI.
The interest rate calculated is on the outstanding balance on a monthly basis at 1/12 of the annual rate of interest.
Steps to use the IDBI Bank home loan calculator
- Enter the loan amount which you wish to avail
- Enter the interest rate
- Enter the loan term (in months)
- Click on the button “Calculate”