How to check the Personal Loan EMI status?

Introduction

There are a number of times when one needs access to immediate funds, for meeting either necessary expenses or luxury ones. A personal loan is perfect in such situations as it is an unsecured loan that does not require a collateral. This means that you can easily cover your expenses whilst not being burdened by the potential of losing hard-earned assets due to delayed or missed payments.

However, before disbursing a personal loan an institution will check the applicants income, credit history, employment are suitable and that the individual can repay the loan.

Personal Loan Eligibility

While the eligibility criteria can differ from one institution to another there are a few factors that are kept in mind, such as age, occupation, income and ability to repay the loan along with place of residence. One must have a regular source of income in order to ensure that the loan is paid back in time. Credit history also plays an important role in this aspect.

What is a Personal Loan EMI Calculator?

To understand how much one’s monthly payment would be, one can avail a Personal Loan EMI Calculator through an online portal. This tool calculates how much EMI needs to be paid per month to complete the repayment of your loan. The information needed for the personal loan EMI calculator is:

1. The principal amount
2. Rate of interest
3. Tenure of the loan

The calculator will then generate the EMI amount and the interest that will need to be paid, so the payments that need to be made can be planned in advance.

How to Use a Personal Loan EMI Calculator?

A personal loan EMI calculator has 3 important aspects:

1. Principal amount: The total amount that was borrowed as the loan and needs to be paid back at the end of the agreed upon period with the addition of the accumulated interest.
2. Rate of interest: the rate at which the interest will be calculated on the principal amount for the duration of the loan
3. Tenure of the loan: The time period for which the loan amount has been granted and needs to be paid back with interest

There are three simple steps to follow while checking on the status of your personal loan through the personal loan EMI calculator:

1. Add the desired amount that needs to be loaned.
2. Add the rate of interest that has been agreed upon.
3. Add the loan duration, either in months or years.

The personal loan EMI calculator will break up the EMI amount to show exactly how much needs to be paid every month in order to remain on track during the tenure of the loan.

What is a Personal Loan Amortization Schedule?

In order to stay on top of all the payments that need to be made, a personal loan amortization schedule can be followed. This is a table that depicts the loan payments that need to be made with respect to the principal amount and the interest amount for each month. It allows one to make payments on time and not default on the loan. Thus, it helps in closing the loan within the agreed upon period.

Conclusion

Personal loan is an easy way to ensure you have the funds required to live a comfortable life and through the personal loan EMI calculator, one can ensure the payments are made on time without any stress.