Personal Loan EMI and Eligibility Calculator: Benefits and Use
If you are looking for an unsecured credit instrument, a Personal Loan can be a good option for you. Many lending institutions are offering unsecured Personal Loans at attractive interest rates. When you avail of a Personal Loan, you are required to repay the borrowed amount through monthly payments known as Equated Monthly Instalments (EMIs).
To make the repayment tenure easier and stress-free for borrowers, lenders are also offering online EMI calculators. These tools can be used to check Personal Loan eligibility online. With the introduction of tools, it has become more convenient for borrowers to know their eligibility and calculate their repayment tenure, EMIs, and more.
How to use a Personal Loan EMI calculator?
A Personal Loan EMI calculator is a tool that will help you calculate your monthly payments against your loan amount, loan tenure, and the interest rate offered to you. The tool will enable you to plan your loan journey. In this way, you will be able to figure out your repayment plan so that you don’t miss out on any monthly payments. It will also help you avoid any financial distress in the future due to the miscalculation of funds required for your monthly payments.
If you are planning to calculate your EMIs manually, you must know that there can be errors. Hence, using an online EMI calculator is better as the calculations are automated. Here are some of the benefits of using an online Personal Loan amount eligibility calculator:
- Easy to access
- Widely available
- Accurate results
- Easer budget planning
- Quick results
By using this calculator, you can check Personal Loan eligibility online. The calculator also helps in determining the maximum loan amount you can take from a lender. In addition to this, various other factors influence your Personal Loan eligibility. These factors include your credit history, monthly income, existing loans, bureau score, and repayment capacity.
To know your Personal Loan EMIs, you just have to enter basic details in the online calculator. Enter your desired loan amount, pick a tenure that feels most suitable to you, and enter the interest rate that is offered to you by your lender. The tool will calculate your monthly payments for you, allowing you to plan your repayment strategy so that you can enjoy a stress-free loan journey.
However, please note that the online EMI calculator will give you an estimated amount and not the definitive amount. It only gives you an approximation of your monthly payments so that you can get an idea of the amount you will need to take out for your EMIs.
Your Personal Loan amount and interest rate depend on various factors, as mentioned above. One of the most important factors is your bureau score. Your bureau score is a three-digit number that is calculated by credit bureaus such as TransUnion CIBIL, CRIF High Mark, Experian and Equifax.
A bureau score is used to determine your creditworthiness when you apply for loans. Your score is calculated based on your repayment history, financial habits, credit mix, and other ongoing loans. Having a credit score above 700 is considered healthy. The table below represents different credit scores and their approval rates. Please note that this classification of creditworthiness and chances of approval is indicative and not sacrosanct.
|Credit Score||Creditworthiness||Approval Chances|
|<600||Not up to the mark||Very low|
|700-750||Very good||Very good|
How to check your bureau score online?
You can check your bureau score online on CIBIL’s official website. Checking your score beforehand will give you an idea if you can get approved for a Personal Loan. Below are the steps to check your CIBIL score online.
- Step 1: Visit CIBIL’s official website
- Step 2: Enter the required information in the ‘get your CIBIL score’ section
- Step 3: After receiving an OTP on your registered number, you can check your score at myscore.cibil.com
A Personal Loan EMI calculator is an easy-to-use tool that gives you an estimated amount of your monthly payments. You can use this calculator before applying for loans to make your loan journey easier and more convenient. These tools are available online and are free of cost. Please note that the results approximate your EMIs and should not be considered the final amount.