1. What is the EMI Formula?

The EMI (Equated Monthly Installment) formula calculates the fixed payment amount a borrower makes to a lender each month. For OneCard credit purchases, this helps plan repayments of large expenses over time.

2. How Does the Calculator Work?

The calculator uses the standard EMI formula:

Where:

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

Explanation: The formula accounts for both principal repayment and interest charges, distributed equally across each month of the loan term.

3. Importance of EMI Calculation

Details: Calculating EMI helps borrowers understand their repayment obligations, compare loan options, and plan their finances accordingly.

4. Using the Calculator

Tips: Enter principal amount in ₹, annual interest rate in percentage, and tenure in months. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: How is OneCard interest calculated?
A: Interest is calculated monthly on the outstanding balance at the rate specified in your card agreement.

Q2: Can I change my EMI tenure later?
A: Some lenders allow tenure changes, but this may involve fees or rate adjustments. Check with OneCard for specific policies.

Q3: Are there prepayment charges?
A: Many credit cards allow EMI prepayment, sometimes with a small fee. Confirm with your card issuer.

Q4: Does EMI affect credit score?
A: Timely EMI payments can help build credit history, while missed payments negatively impact your score.

Q5: How accurate is this calculator?
A: This provides a close estimate, but actual EMI may vary slightly due to rounding or specific card terms.