FinCalc Bharat

Education Loan EMI Calculator

Invest in your future. Calculate EMIs, accrued interest during moratorium, and plan your career with financial clarity.

Loan Parameters

1L1.5Cr
%
Yrs
0 Yr7 Yrs
Yrs
1 Yr20 Yrs

Post-Moratorium EMI

Accrued Interest: ₹3,80,000

Total Payment

Principal + All Interest

Total Period

Years

Moratorium + Repayment

Smart Tip

Paying just the interest during your study period can save you ₹3,80,000 by preventing capitalization.

Loan Balance Projection

Repayment Schedule

YearStatusYear-End Balance
Year 1Moratorium₹21,90,000
Year 2Moratorium₹23,80,000
Year 3Repayment₹22,30,126
Year 4Repayment₹20,65,378
Year 5Repayment₹18,84,279
Year 6Repayment₹16,85,206
Year 7Repayment₹14,66,376
Year 8Repayment₹12,25,827
Year 9Repayment₹9,61,404
Year 10Repayment₹6,70,739
Year 11Repayment₹3,51,225
Year 12Repayment₹0

Education Loan Planning

An education loan is a powerful tool to fund your higher studies in India or abroad. It covers tuition fees, living expenses, travel, and books. Understanding how interest accrues during your study period is key to avoiding a massive debt burden later.

Key Features to Look For

  • Interest Subsidy: Check if you qualify for government interest subsidy schemes (like CSIS) based on your family income.
  • Collateral Requirements: Loans up to ₹7.5 Lakh usually don't require collateral under the Vidya Lakshmi scheme.
  • Repayment Flexibility: Some banks offer lower EMIs initially that increase as your salary grows (Step-up repayment).

Tax Benefit (Sec 80E)

You can deduct the entire interest paid on your education loan from your taxable income for up to 8 years.

Prepayment

Most education loans have zero prepayment penalties. Paying extra whenever possible can save you years of interest.

Frequently Asked Questions

What is a Moratorium Period in Education Loans?
A moratorium period is a 'holiday' from loan repayment. It typically covers the duration of your course plus a grace period (usually 6 months to 1 year) after you complete your studies. During this time, you don't have to pay EMIs, but interest continues to accrue.
How is interest calculated during the moratorium?
Lenders usually charge simple interest during the moratorium period. This accrued interest is then added to your principal amount (capitalized) once the repayment period begins, and your EMI is calculated on this new total.
Are there tax benefits for Education Loans?
Yes, under Section 80E of the Income Tax Act, you can claim a deduction for the interest paid on an education loan for yourself, your spouse, or your children. There is no upper limit on the deduction amount, and it's available for up to 8 years.
Can I pay interest during the moratorium?
Yes, most banks allow you to pay the interest during the study period. If you do this, the interest won't be capitalized, and your EMI will be lower when the repayment period starts.
Monthly EMI
Total Interest
₹16,95,594