EMI Calculator (India)

How EMI is calculated

EMI (Equated Monthly Instalment) spreads a purchase into equal monthly payments. The standard reducing-balance formula is:

EMI = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1)

• P = principal (the amount financed)
• r = monthly interest rate = annual rate ÷ 12 ÷ 100
• n = tenure in months

Early instalments are mostly interest; later ones are mostly principal. The calculator above shows the monthly EMI, the total interest you'll pay, and the total amount payable over the full tenure.

EMI and no-cost EMI for online sellers

Offering EMI is one of the highest-leverage conversion levers for higher-ticket Indian e-commerce. A ₹50,000 product feels far more affordable at "₹4,490/month" — average order value and conversion both rise. The main options:

• Card EMI — buyer's bank splits the payment; bank charges interest.
• No-cost EMI — interest is given back as an upfront discount, so the buyer repays only the price. Popular for electronics and appliances.
• Pay-later / BNPL — short tenures via providers like Simpl, LazyPay, or UPI-linked credit.

Is no-cost EMI actually free?

Not exactly — the interest still exists, it's just absorbed as a discount or paid by the seller. As a shopper, compare the no-cost-EMI total against the full upfront price. As a seller, factor the EMI subvention cost into your pricing and margin.

FAQs

How is EMI calculated?

EMI = P × r × (1+r)^n ÷ ((1+r)^n − 1), where P is principal, r is the monthly rate, and n is months. The calculator applies it instantly.

What is no-cost EMI?

You repay only the product price in instalments; the interest is absorbed as an upfront discount or paid by the seller. It still exists — compare against the upfront price.

Does FlexiCommerce support EMI and pay-later?

Yes — via built-in gateways (Razorpay, Cashfree, PayU), FlexiCommerce supports card EMI, no-cost EMI and pay-later at checkout. See the demo.