Monthly EMI | ₹ |
Principal amount | ₹ |
Total interest | ₹ |
Total amount | ₹ |
Your Amortization Details (Yearly/Monthly)
The Central Bank of India has been serving the Indian economy since 1911, and therefore, has become one of the eminent names in the banking industry. As it has a pan-India presence, the government decided to keep it as an individual entity during their nationwide bank merger initiative.
It is a government-owned financial institution that provides various lending services at competitive charges. So, individuals who require raising substantial funds for purchasing a house can approach this bank. The Central Bank offers housing loans at interest rates starting from 6.85%. Borrowers can also use the Central Bank home loan calculator and find out the most suitable EMI as per their repayment capacity.
Every loan comes with a prepayment factor. In terms of housing loans, individuals pay them off through monthly instalments within a stipulated date. Skipping a payment can attract hefty penalty fees, which can further increase the total outstanding. Therefore, borrowers should choose an EMI amount that can be repaid easily every month.
However, the calculation process can be complicated. A Central Bank home loan EMI calculator eases this mathematical calculation and provides accurate result. Individuals need to fill in essential details of the loan like the tenure, interest rate, and principal value to arrive at the EMI amount.
Therefore, borrowers can conveniently manage their financial profile with this home loan calculator.
The Central Bank housing loan EMI calculator runs on the following formula.
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
Wherein,
Following is an example of using this formula to clear their concept –
Let’s say, Sushmita is going to borrow an advance of Rs. 25,00,000 from the Central Bank for 15 years. The bank has decided to provide this facility at 6.9% interest rate.
In this case, the values to be entered in the calculator are tabulated below –
P or Principal | Rs. 25,00,000 |
R or Rate of interest | 6.9% |
N or Tenure | 180 months |
Now, as per the formula –
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
= [25,00,000 X 6.9% X (1+6.9)^180] / [(1+6.9)^180-1]
= 22,331
Hence, Sushmita’s EMI stands at Rs. 22,331 for the next 15 years. Furthermore, a Central Bank home loan calculator also displays that she has to pay Rs. 15,19,580 as interest cost.
There are a few aspects that can impact EMI calculation –
A Central Bank home loan EMI calculator can be beneficial in the following ways –
So, before approaching the bank, individuals can use the Central Bank home loan calculator online and note all plausible payout options. This methodical borrowing process can be beneficial to choose a suitable loan option as well.