1. What is EMI?

EMI (Equated Monthly Installment) is the fixed payment amount made by a borrower to a lender at a specified date each calendar month. EMIs are used to pay off both interest and principal each month so that over time, the loan is paid off in full.

2. How Does the Calculator Work?

The calculator uses the standard EMI formula:

Where:

• \( P \) — Principal loan amount (Rs)
• \( R \) — Monthly interest rate (annual rate divided by 12, in decimal)
• \( N \) — Loan tenure in months

Explanation: The formula calculates the fixed monthly payment that would completely pay off the loan over its tenure, including both principal and interest components.

3. About Kotak Bank Personal Loans

Details: Kotak Mahindra Bank offers personal loans with competitive interest rates, flexible tenures, and quick approval processes through platforms like Groww.

4. Using the Calculator

Tips: Enter the loan amount in Rs, annual interest rate (as offered by Kotak Bank), and loan tenure in months. The calculator will show your EMI, total payment, and total interest.

5. Frequently Asked Questions (FAQ)

Q1: What is the typical interest rate for Kotak Bank personal loans?
A: Interest rates typically range from 10.99% to 24% per annum, depending on credit profile and other factors.

Q2: What is the maximum tenure available for Kotak personal loans?
A: Kotak Bank usually offers personal loans with tenures up to 60 months (5 years).

Q3: Are there any prepayment charges?
A: Kotak Bank may charge 0-5% prepayment penalty depending on loan terms and timing of prepayment.

Q4: How does Groww help with Kotak Bank personal loans?
A: Groww provides a digital platform to compare and apply for Kotak Bank personal loans with competitive rates.

Q5: What factors affect my personal loan interest rate?
A: Credit score, income, employment stability, existing debts, and relationship with the bank affect your interest rate.