Moratorium EMI Calculator
Moratorium EMI Calculator Calculate EMI with moratorium period (payment holiday). First M months interest-only or accumulated; remaining N months normal EMI. Formula: EMI = (P[(1+r)^n - (1+r)^m] × r) / ([(1+r)^n - 1]) — free online calculator.
Formula
P is the initial principal, r is the monthly interest rate, and n is the number of monthly payments. For a zero-interest loan, EMI = P ÷ n.
This model uses monthly compounding and regular end-of-month payments. Fees, insurance, taxes and early repayments are not included unless they are part of the principal.
Example Calculation
Principal: Rs 2,000,000
Annual rate: 22%
Term: 5 years / 60 months
The monthly rate is 0.22 ÷ 12 ≈ 0.018333. Substituting this rate and 60 payments into the formula gives a monthly instalment of approximately Rs 55,238.
Frequently asked questions
What does EMI mean?
EMI stands for equated monthly instalment: a scheduled payment containing both principal and interest.
How should I enter the interest rate?
Enter a yearly percentage such as 22 for 22%. The calculator converts it to a monthly rate automatically.
What happens when the interest rate is zero?
The borrowed amount is divided evenly across the number of payments.
Why might my bank quote a different payment?
A lender may include fees or insurance, use daily interest, apply different rounding, or offer a variable rate.
Does a longer term reduce the total cost?
A longer term usually lowers the monthly instalment but increases total interest at the same positive rate.
Is this suitable for flat-rate loans?
This formula models a reducing-balance loan. Flat-rate loans use a different method.
Are my figures uploaded?
The calculation runs directly in the page; the values are not stored by this calculator.