About the Education Loan EMI Calculator
What is the Education Loan EMI Calculator?
Education loans come with a moratorium: no EMIs during the course and for 6–12 months after it. Interest still accrues during this time, and unless you pay it, it is added to the loan, so your EMIs start on a larger balance.
Enter the loan, rate, moratorium months, repayment tenure and whether you will pay interest during studies. This education loan EMI calculator shows the EMI after the moratorium, the interest accrued, the total interest and the loan outstanding when EMIs start.
How to use the Education Loan EMI Calculator
- Education Loan Amount (₹) (sample: 10,00,000)
- Interest Rate (% per year) (sample: 10)
- Moratorium (months) – course period + 6 to 12 months (sample: 48)
- Repayment Tenure after Moratorium (years) (sample: 7)
- Interest During Moratorium (sample: Not paid – added to the loan (simple interest))
- Press Calculate Education Loan EMI (results also refresh as you type). The result card shows the EMI After Moratorium, along with Interest added during moratorium, Total interest over the loan, Loan outstanding when EMIs start and Tax deduction on interest.
Formula used
EMI = P′ × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1)
- P′ = loan + simple interest during the moratorium (if not paid) = P × (1 + rate × months ÷ 12)
- n = the repayment months after the moratorium
Paying just the interest during the course keeps the balance at the original loan and cuts total interest considerably.
Worked example
These are the sample values already filled in the calculator above, and the result it returns for them:
| Input | Sample value |
|---|---|
| Education Loan Amount (₹) | 10,00,000 |
| Interest Rate (% per year) | 10 |
| Moratorium (months) – course period + 6 to 12 months | 48 |
| Repayment Tenure after Moratorium (years) | 7 |
| Interest During Moratorium | Not paid – added to the loan (simple interest) |
| Result | Value |
|---|---|
| EMI After Moratorium | ₹23,242 |
| Interest added during moratorium | ₹4,00,000 |
| Total interest over the loan | ₹9,52,299 |
| Loan outstanding when EMIs start | ₹14,00,000 |
| Tax deduction on interest | Fully deductible under Section 80E for 8 years (old regime) |
Tips for using the Education Loan EMI Calculator
- Interest on education loans is fully deductible under Section 80E for 8 years (old regime).
- Many banks give a 0.5–1% concession if interest is serviced during the moratorium.
- Loans up to ₹7.5 lakh are usually collateral-free under the credit guarantee scheme.