Getting a dream home is no longer an uphill battle with Canara Bank Home Loan at attractive interest rates. It is imperative to know the EMI amount before taking a home loan so that the budget can be adjusted accordingly. Groww’s Canara Bank Home Loan EMI calculator helps to calculate the accurate monthly EMI amount beforehand.
Canara Bank was established in 1906 with the initial name of Canara Bank Hindu Permanent Fund. Its first office was located in Mangalore. Later, during the nationalisation drive for banks, the Government of India acquired and renamed it Canara Bank.
Presently, it is headquartered in Bangalore with 10,403 branches across the country. The latest merger of the Syndicate Bank with the Canara Bank in April 2020 also made the latter the fourth largest bank in the country.
Considering its reliable lending history, individuals can apply for a home loan with Canara Bank to extend, improve, construct or buy their residential property. They can also assess their plausible EMIs for home loan repayment with a Canara Bank home loan calculator.
Loan repayment via EMIs involves various mathematical calculations, which applicants may find challenging to comprehend. They can thus utilise an online home loan calculator to estimate the EMIs accurately.
Once individuals provide the calculator with advance details such as interest rates, loan value, and repayment period, a Canara Bank home loan EMI calculator computes the instalment amount in seconds. Individuals can also tweak these parameters to check which EMI fits their repayment capacity the best.
The Canara Bank housing loan EMI calculator determines instalment amounts with the help of a set mathematical formula. As per this formula,
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
Such calculation can be easier to conclude with the help of the following example.
Rakesh decides to procure a housing loan from Canara Bank for 20 years. The bank approves Rs. 28,00,000 as home loan at an interest rate of 8% p.a.
Here, the values to be entered in the calculator are –
|P or Loan principal||Rs. 28,00,000|
|R or Rate of interest||8%|
|N or tenure||240 months|
Now, EMI calculation as per the formula will be –
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
= [28,00,000 X 8% X (1+8)^240] / [(1+8)^240-1]
So, if Rakesh thinks Rs. 23,420 per month is feasible for him, he can apply up for the loan facility. Alongside, the Canara Bank home loan calculator 2020 also shows the total repayment liability of Rakesh by the tenor’s end amounting to Rs. 56,20,877 in total.
When borrowing a housing loan, individuals should be aware of the factors that can affect loan EMIs –
Borrowers can utilise the following benefits when assessing their EMIs with a Canara Bank home loan calculator –
A Canara Bank home loan calculator thus aids in making a suitable financial decision when it comes to housing finance. It helps approach the borrowing decision systematically, thus enabling users to make the most of their financing capacities.
Que. Is the Canara home loan EMI constant or changes with an interest rate change in future?
Ans. Usually, the home loan EMI remains unchanged unless the customer asks for a change and the same is approved by Canara Bank subject to its eligibility conditions
Que. Is there any change in the home loan EMI in case of prepayment?
Ans. Canara Bank provides prepayment without any charges in case of floating rate home loans. The prepayment reduced the outstanding balance of the principal amount on your home. In this case, you can decide to either keep the EMI amount the same and reduce the tenure or reduce the EMI amount and keep tenure the same. You can check the EMO on your home loan anytime by using the Canara home loan calculator.
Que. How accurate is the home loan calculator of Canara?
Ans. The calculator present on this page uses meticulous coding which is programmed to calculate accurate results. Also, make sure that the values entered by you are correct.
Que. What is the use of calculating Canara Bank home loan EMI before taking a loan?
Ans. Calculating the EMI beforehand can help you evaluate the amount you have to pay each month as EMI.