Who doesn’t want to save money? And if i tell you that there are a few methods by which you can ensure savings on a RBL Bank Personal Loan, would you believe it? Well, you have to. With methods like choosing a lower RBL Personal Loan Interest Rates, Choosing shorter tenure, Lower Processing Fees, Prepayment Facility, etc. help people to save a substantial amount on their personal loan. Personal Loan Balance Transfer Facility is one of the most popular methods among customers to do the savings. And to know the Savings, we use RBL Bank Personal Loan EMI Calculator.
But before knowing how much money you can save, let’s understand this tool. With this EMI Calculator, individuals can know their monthly installments towards a personal loan. Just put a few basic details into it, and you will get the EMI amount within a second. So, how does this tool help you in knowing the savings on your personal loan with Balance Transfer Facility? Here, in this article, we will tell you the same with required Calculations. Other than this, we will also tell you about RBL Bank Personal Loan EMI Calculator in detail. Keep reading to know more!
Impact of RBL Bank Personal Loan Interest Rates on Balance Transfer
So, what is the Personal Loan Balance Transfer facility? Well, with this facility, you can transfer your outstanding principal balance to RBL Bank at lower personal loan interest rates. By doing this, you can save both in EMI amount and interest outgo substantially. Reason: Lower Interest Rates will help you lower your monthly installments over a period. But you should remember to opt for this facility in the early years of your tenure as the interest part is usually high during these years on your personal loan and chances of savings are quite high.
Let’s understand you with an example. Suppose an individual has a 5-year personal loan of INR 6 lakh at an interest rate of 20.50% per annum.
For this amount, he must be paying an EMI of INR 16,064 and interest outgo of INR 3,63,823.
Now, after paying EMIs for 24 months without any fail, he wants to transfer his outstanding principal balance to RBL Bank Personal Loan Interest Rates of 17.50% per annum.
Total interest paid during these two year is INR 2,14,824 and the outstanding principal balance at this time is INR 4,29,294
On transferring this Balance to RBL Bank, the new EMI according to new interest rates would be INR 15,413.
Similarly, the interest outgo for this new principal amount will be INR 1,25,557.
So, the estimated EMI savings will be around INR 651 per month.
From the above calculations, you can see that when you opt for a Balance Transfer at a lower interest rate of 17.50% per annum, you can save INR 651 per month on the EMI amount and INR 88,913 on the Interest Outgo. It’s important to have an estimate of the money you can save with a Balance Transfer facility. All these calculations can be done with the RBL Bank personal loan EMI Calculator.
Details to use RBL Bank Personal Loan EMI Calculator
As we said earlier in the introduction that you will only need a few details to use the RBL Personal Loan EMI Calculator. Well, there are only three details and these are Required Loan Amount, RBL Bank Personal Loan Interest Rates, and Tenure. Just put them into the tool and the tool will provide you results within seconds. These results will be EMI amount, Interest Outgo, and total amount payable.
Apart from this, you will also get the Amortization Table that can help you know the portion of interest and principal amount at different stages of your tenure. With this table, you can have an estimate about your finances that can be pretty helpful.