Reliance is one of the major players in Indian housing finance market. They offer a platter full of home loan services to the Indian customers from regular home loans to loan against property to NRI home loans to home renovation loans to everything. Reliance grants home loans at attractive rates of interest so that it is not much of a burden for you while you pay your EMIs. Since home loans comprise of big loan amounts, it calls for proper planning and taking informed decisions for making EMI payments. Procuring a home loan can put a considerable dent on your monthly salary. Every month, 40-50% of your salary will go towards writing off home loan EMIs. Thus, you should plan your month accordingly. But how will you plan if you don’t know how much is your EMI?
What is the Purpose of the Reliance Home Loan EMI Calculator?
The purpose of the Home Loan EMI Calculator by Reliance Home Finance is to help you determine the EMI that you’ll be paying every month to clear off the loan. This knowledge will give you clarity in your head and help you manage your month by making some informed decisions. The EMI is calculated based on entering three factors – Loan Amount, Rate of Interest and Tenure of the loan. These factors are inter-linked, so, any changes in any of these factors will result in the decrease and increase in your EMI.
How is the Reliance Home Loan EMI Calculator helpful?
Clarity: To service home loans, it requires a lot of planning and management. When you know in advance what your monthly EMI is going to be, you’ll know how to manage your month, what to spend on and what not to. The concept of opportunity cost plays a big role here. Your monthly expenses should be on those goods only that brings maximum value to you and not on luxury. This is because EMI payment takes away a huge chunk of your regular income. Knowing it in advance helps you make informed decisions for the month.
Relationship between Interest and Principal: Reliance Home Loan Calculator helps you understand the ratio between principal and interest due. During initial months the interest that you’ll pay towards the EMI will be higher. But as time goes by, the principal paid will be more than the interest. It simplifies all the calculation and gives you a clear picture of how the calculations are going to be.
How to use the Reliance Home Loan EMI Calculator?
The Reliance home loan EMI Calculator is very easy to use. It was designed keeping in mind the user’s convenience. All you have to do is enter three details as per your needs. Firstly, enter the home loan amount that you desire. Then, rotate the tenure slider to choose the tenure period by which you’ll be able to pay the loan. Choose according to your repayment ability. Lastly, choose the desired rate of interest that you want Reliance to give you. And boom, you have the EMI on your screen in a matter of a few milliseconds. Please note that the calculations should not be considered absolute, these are just to give you an approximate understanding.