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Effect of Interest change on Home Loan EMI and Loan repayment Period.

Have you ever thought of the effect of Increse in interest and its effect on Loan repayment period?
Many might not have thought of this aspect while availing the Home Loan.
They may be under the impression that whenever increase in Interest rate ,Bank will automatically extend the loan period ,keeping the EMI fixed at the time of sanction of the loan as constant.
But how long the EMI Period will extend-Do you have any idea ?
Many may not have any idea on the effect of interest on EMI/LOAN Period. Will you ever imagine that your Loan taken on 20 years may even extend beyond 40 years if the interest is revised upward by mere 1.50 % ? Don't get shocked-Just go through the table to make an informed decision on loan repayment period and EMI.

Effect of Interest change on Home Loan Period
Table 1-(Constant EMI Payment 9650 )
Initial Loan 10,00,000 :Period 20 Yrs :Interest 10 % p.a :EMI 9650
InterestEMIInt PaymentPrn PaymentPrd Initial (Yrs)Prd Revised (Yrs)Extra EMI Prd (Yrs)
10.0096508333131720.0020.0000.00
10.2596508542110820.0021.2001.20
10.509650875090020.0022.7002.70
10.759650895869220.0024.6004.60
11.009650916748320.0027.3007.30
11.259650937527520.0031.8011.80
11.50965095836720.0043.4023.40
11.7596509792-14220.00Perfectual payment as Interest is more than EMI.
12.00965010000-35020.00

Use this EMI Calculator to know more.

Effect of Interest change on Home Loan EMI
Table 2- (Constant Loan Period 20 Years)
Initial Loan 10,00,000 :Period 20 Yrs :Interest 10 % p.a :EMI 9650
Interest oldInterest RevisedEMI oldEMI RevisedIncrease in EMI
10.0010.009650965000.00
10.0010.2596509816166.00
10.0010.5096509984334.00
10.0010.75965010152502.00
10.0011.00965010322672.00
10.0011.25965010493843.00
10.0011.509650106641014.00
10.0011.759650108371187.00
10.0012.009650110111361.00