EMI Calculator: Monthly Loan Instalment in Bangladesh
A ৳5 lakh loan at 12% a year for 5 years costs ৳11,122 a month (EMI), with ৳1,67,333 interest over the term. Enter your own amount, rate and tenure in years or months below.
Plan A
৳
= 5 lakh taka
%
years
= 60 months / 60 instalments
Monthly instalment (EMI)
৳11,122
60 instalments
Principal
৳5,00,000
Total interest
৳1,67,333
Total payment
৳6,67,333
A ৳5,00,000 loan at 12% for 5 years costs ৳11,122 a month, with ৳1,67,333 interest in total.
How this was calculated
Monthly rate r = 12% ÷ 12 ÷ 100 = 0.01
Number of instalments n = 60
EMI = P × r × (1+r)ⁿ ÷ [(1+r)ⁿ − 1] = ৳11,122
First instalment: interest ৳5,000, principal ৳6,122
Total payment ৳6,67,333, of which interest ৳1,67,333
Enter the loan amount. ‘5 lakh’, ‘5L’ or 5,00,000 all work.
Enter the annual interest rate quoted by the bank.
Enter the tenure and switch between Years and Months, e.g. Months for a 6-month card instalment.
The EMI, total interest, total payment and the yearly or monthly schedule update instantly.
Tap ‘Compare with another plan’ to put two offers side by side.
The EMI formula
EMI = P × r × (1 + r)ⁿ ÷ [(1 + r)ⁿ − 1]
P = loan amount
r = monthly rate = annual rate ÷ 12 ÷ 100
n = number of monthly instalments
Examples
Personal loan: ৳5 lakh at 12% for 5 years (60 instalments) → EMI ৳11,122. The first instalment is ৳5,000 interest and ৳6,122 principal. Total interest ৳1,67,333.
Home loan, shorter tenure: ৳30 lakh at 9%.
Tenure
EMI
Total interest
20 years
৳26,992
৳34,78,027
15 years
৳30,428
৳24,77,040
Paying ৳3,436 more a month and finishing 5 years earlier saves about ৳10 lakh in interest.
What to know in Bangladesh
Rates are market-based: they vary by bank and loan type, so compare several offers.
Watch for flat rates: many NGOs and microfinance lenders quote flat rates, which cost roughly twice as much as the same reducing rate.
Extra costs: processing fees, documentation, insurance and prepayment fees are not in the EMI. Ask the bank for a written list.
Islamic banks: use profit or rent structures (e.g. HPSM) instead of interest; the monthly figure is often similar but the method differs.
More: what is inside each instalment
Each month the bank first takes that month’s interest on the outstanding balance; the rest of the instalment repays principal. The chart above shows how the split changes year by year. A common rule of thumb is to keep all loan instalments below one-third of monthly income.
Frequently asked questions
What is an EMI?
An EMI (Equated Monthly Instalment) is the same amount you pay the bank every month. Part of each instalment pays interest and the rest repays the loan. Early on the interest share is larger; later the principal share grows.
What is the EMI on a ৳10 lakh loan?
It depends on the rate and tenure. At 12% for 5 years it is ৳22,244 (total interest ৳3,34,667); at 11% it is ৳21,742.
What is the difference between a flat and a reducing rate?
A flat rate charges interest on the full original loan for the whole term; a reducing rate charges only on the balance still owed. ৳1 lakh for a year at 10% flat costs ৳10,000 in interest, but only ৳5,499 at 10% reducing. This calculator uses the reducing method, as banks usually do.
How much does a longer tenure lower the EMI?
The EMI falls but total interest rises sharply. ৳30 lakh at 9% over 20 instead of 15 years lowers the EMI by ৳3,436 a month but adds about ৳10 lakh of interest.
Can I calculate a 3- or 6-month credit card instalment?
Yes. Choose Months next to the tenure, enter 3 or 6 and the card's rate. For a 0% plan enter 0; add any processing fee separately.
Does prepaying reduce interest?
Yes. A prepayment lowers the balance, so later months carry less interest. Prepaying early saves the most, but some banks charge a prepayment fee.
Also searched as
loan EMI calculator Bangladesh · bank loan instalment calculator · home loan EMI calculator BD · car loan EMI calculator · kisti hisab