Keep EMI · reduce tenure
Finish about 3y 3m earlier
Monthly EMI
₹39,390
New payoff time from today
11y 9m
Gross interest saved
₹10,50,708
Net saving after entered charge
₹10,50,708
Home loan part-payment planning
Home Loan Prepayment Calculator — Reduce EMI or Tenure
Estimate how a lump-sum home loan prepayment can reduce total interest, shorten the remaining tenure or lower the monthly EMI. Enter your current outstanding principal, rate, remaining tenure and planned part-payment amount.
Compare loan part-payment options
Model an immediate or future lump-sum prepayment and compare two common outcomes: keep the EMI and finish earlier, or keep the remaining tenure and reduce the EMI.
Modeled current EMI
₹39,390
Based on ₹40,00,000 outstanding over 15 years at 8.5% p.a.
Balance when prepayment is made
₹40,00,000
After 0 modeled monthly payments; balance after part-payment becomes ₹35,00,000.
Keep tenure · reduce EMI
EMI drops by about ₹4,924
New modeled EMI
₹34,466
Remaining tenure
15 years
Gross interest saved
₹3,86,266
Net saving after entered charge
₹3,86,266
Baseline vs prepayment scenarios
Interest figures are modeled from today using the inputs above.
| Scenario | Monthly EMI | Payoff time | Total interest | Interest saved |
|---|---|---|---|---|
| No prepayment | ₹39,390 | 15 years | ₹30,90,125 | — |
| Keep EMI | ₹39,390 | 11y 9m | ₹20,39,416 | ₹10,50,708 |
| Keep tenure | ₹34,466 | 15 years | ₹27,03,859 | ₹3,86,266 |
Share or copy the current result, or reset the calculator.
Home loan prepayment calculator: what it compares
A part-payment reduces the loan balance before the original schedule ends. MahaMetric first models the remaining balance at your selected prepayment month, applies the lump sum, and then compares two common ways the loan could continue.
No prepayment
Baseline modeled EMI, payoff time and remaining interest from today.
Reduce tenure
Keep roughly the same EMI after the part-payment and estimate how many months or years earlier the loan can finish.
Reduce EMI
Keep the remaining tenure and recalculate the EMI on the lower principal after the part-payment.
How home loan prepayment saves interest
Lower outstanding principal → lower future interest → either shorter tenure or lower EMI
The calculator uses a reducing-balance model. If you schedule the part-payment in the future, it first simulates the regular EMI payments up to that month, then subtracts the part-payment from the modeled balance before calculating the revised scenarios.
Reduce EMI or reduce tenure after prepayment?
If your goal is to lower monthly cash outflow, the reduce-EMI scenario shows the modeled new payment while keeping the remaining tenure. If your goal is to repay faster, the reduce-tenure scenario keeps the modeled EMI approximately unchanged and shows the earlier payoff date.
These are comparison scenarios, not instructions to your lender. Ask the lender how the part-payment will actually be applied and request the revised amortization schedule.
Use your lender's current outstanding balance
For a meaningful home loan part-payment estimate, use the principal outstanding, current annual interest rate and remaining tenure from your latest lender statement. Do not use the original sanctioned loan amount if part of the loan has already been repaid.
Prepayment charges and net savings
The calculator does not assume a prepayment, foreclosure or part-payment charge. If your lender has quoted a charge, enter the rupee amount in the optional field. MahaMetric then shows both gross interest savings and modeled net savings after that entered charge.
Why actual lender results can differ
Banks and housing-finance companies can use different interest accrual dates, rate-reset schedules, payment dates, rounding rules and part-payment allocation methods. The lender may also revise EMI and tenure differently from the two planning scenarios shown here.
Frequently asked questions
Does home loan prepayment reduce EMI or tenure?
It can do either, depending on how the lender revises the loan. This calculator shows both planning scenarios: keep the EMI and reduce tenure, or keep the remaining tenure and reduce the EMI.
How does a part-payment reduce home loan interest?
A lump-sum part-payment reduces the outstanding principal. Future interest is then calculated on a lower balance, which can reduce total interest if the lender applies the payment to principal as modeled.
Which saves more interest: reducing EMI or reducing tenure?
With the same lump-sum prepayment, keeping the EMI and shortening the tenure will often show higher modeled interest savings because the principal is repaid faster. The actual lender schedule can differ, so compare the revised amortization statement before deciding.
Can I calculate a home loan prepayment after 1, 2 or 3 years?
Yes. Enter the number of months before the planned part-payment, or use the quick 12, 24 and 36 month options. The calculator first models the outstanding balance at that point and then applies the lump sum.
Does this calculator include prepayment or foreclosure charges?
No charge is assumed automatically. If your lender has quoted a prepayment or foreclosure charge, enter it in the optional field and the calculator will show net savings after that entered amount.