Optimal Loan Prepayment Calculator

Minimize total interest across your loans with the latest Indian tax rules

Calculator
How It Works
Your total taxable income for marginal rate calculation
Extra amount available each month for prepayment

1 of 3 loans added

👆 Enter loan details to see optimal prepayment strategy

📊 Complete Guide: How to Use This Calculator

🎯 What Makes This Different?

India's only loan prepayment calculator with real-time EMI calculations, accurate tax tracking, and intelligent allocation across multiple loans.

1

Select Tax Regime

Determines tax deductions availability

Old Regime
• Claim home loan deductions • For income above ₹7L
!
New Regime
• No home loan benefits • For income below ₹7L
2

Enter Annual Income

Total taxable income for current FY

Includes:
Salary
Rental
Business
Capital Gains
💡
Determines Tax Rate:

(5%, 10%, 15%, 20%, 25%, 30%)

3

Monthly Prepayment

Extra amount beyond regular EMIs

Examples:
₹10,000 after expenses ₹10,000
Annual bonus Bonus ÷ 12
Updates Instantly

Change anytime to see impact

4

Add Your Loan(s)

Add home, car, and personal loans

🏠
Home Loan

Tax benefits in Old Regime

🚗
Car Loan

No tax benefits

💰
Personal Loan

No tax benefits

📋 For Each Loan:
Outstanding Principal Current balance
Interest Rate Annual %
Remaining Tenure Months left
5

View Results

Updates automatically as you type

₹XXX
Interest Without
₹XXX
Interest With
₹XXX
Total Savings
XX mo
Time Saved
💡
Try different amounts:
₹5,000 ₹10,000 ₹15,000
6

Tax Benefits

(Old Regime Only)

Section 24 Max: ₹2L/year

Interest deduction on home loan

Section 80C Max: ₹1.5L/year

Principal + prepayments

⚠️
New Regime: No home loan deductions
📊

Old Regime Tax Slabs

Income (₹)Tax Rate
0 – 2.5L0%
2.5L – 5L5%
5L – 10L20%
> 10L30%
Home loan deductions available
📊

New Regime Tax Slabs

Income (₹)Tax Rate
0 – 3L0%
3L – 7L5%
7L – 10L10%
> 15L30%
No home loan deductions
🤖

Smart Allocation Algorithm

How your surplus is optimally distributed

1️⃣
Pay Regular EMIs

All loans first

2️⃣
Calculate Rates

Factor in tax benefits

3️⃣
Rank Loans

Highest to lowest rate

4️⃣
Allocate Surplus

Highest-rate loan first

📊 Example:
Personal Loan: 12%
Home Loan: 8.5% → 6.2%*

*After tax benefits in Old Regime

🎯 Result:

Personal loan gets prepaid first (12% > 6.2%)

💡

Practical Tips

1
Start Early

First 5 years save most interest

2
Emergency Fund First

6 months expenses before prepayment

3
Reassess Annually

Interest rates may change

Common Questions

Q: Prepay or invest?

Many do both: prepay ₹5K & invest ₹5K/month

Q: Reduce EMI or tenure?

Reducing tenure saves more interest

Q: Change surplus later?

Calculator updates instantly

⚠️

Important Notes

This is an estimate - actual may vary
Floating rates: Future changes not predicted
Consult a tax advisor
Not financial advice
💾

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📱
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📊
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