Calculate your Machinery Loan with online EMI calculator
What is a Machinery Loan EMI Calculator?
An EMI calculator is a quick and simple tool that helps you to calculate your Equated Monthly Instalment (EMI) based on the availed loan amount, loan tenure, and interest rates. This helps you plan your loan amount and tenure before applying.
To calculate your EMIs, consider these three important parameters:
Machinery Loan Amount: The total amount of Machinery Loan you want to avail of from Poonawalla Fincorp.
Machinery Loan Tenure: The desired loan term (in years or months) for which you would like to avail of Machinery Loan.
Interest Rate: The rate of interest charged on your principal amount & loan tenure.
*The EMI payable is calculated based on the principal amount, the rate of interest & tenure. This amount is tentative, and the actual amount could vary depending on the rate of interest and other charges applicable to you.
What is Machinery Loan EMI Calculator?
The Machinery Loan EMI calculator from Poonawalla Fincorp is a quick and simple tool that helps you to calculate your Equated Monthly Instalment (EMI). To calculate your monthly EMI, you need to enter the availed loan amount, loan tenure, and interest rates. This free EMI calculator helps you plan your loan amount and tenure before applying.
How to Use Machinery Loan EMI Calculator?
- Step 1: Visit the calculator webpage
- Step 2: Enter the loan amount you require
- Step 3: Fill in the per annum interest rate offered to you by Poonawalla Fincorp
- Step 4: Enter the loan duration under the section ‘Tenure’ in years
- Step 5: View the results under the section ‘EMI Amount’
Components that Affect Machinery Loan EMIs
It is essential to understand the components that affect the loan EMI amount you have borrowed. The three main components of calculating EMI are sanction, interest rates, and tenure. Let’s understand them in brief:
- Sanction: It refers to the loan amount that you have borrowed. If you are taking a loan for a significant amount, it is advisable to make the down payment as much as possible to avoid higher EMIs.
- Interest Rate: Interest rates are the amount charged on the principal amount. Try to get the lowest rate possible to keep EMI affordable and cost-effective.
- Tenure: This refers to the repayment period exceeding up to 60 months. Remember that you will have to pay more interest the longer the loan term. Additionally, the EMI will be higher if the loan term is short. It is advisable to choose loan tenure according to your finances.
Different Ways to Calculate Machinery Loan
Knowing your loan EMIs beforehand is essential for borrowing wisely, and you can calculate the amount in three different ways. Here is a breakdown of your options.
- Microsoft Excel: Here, you will have to use the Microsoft Excel program. Open a spreadsheet, click on a cell, and choose the ‘PMT’ formula. A dialogue box will open, requesting you to input values for the following variables.
- ‘NPER’: This stands for loan tenure in months.
- ‘Rate’: This is the rate of interest monthly.
- ‘PV’: This denotes the loan amount or principal value.
- Enter the values for ‘FV’ and ‘Type’ as 0 and 1, respectively.
- Manual calculation: With the following formula, you can calculate the Machinery Loan EMI amount manually.
EMI = [P x R x (1+R) ^ N] / [(1+R) ^ (N-1)]
‘P’ denotes the principal amount.
‘N’ denotes the tenure in months.
‘R’ denotes the interest rate applicable every month.
- Online calculator: Using the Machinery Loan EMI calculator is the simplest option. It guarantees instant and accurate results every time. To calculate the Machinery Loan EMI amount, input your desired values for the loan amount, tenure, and interest rate. The result will be displayed automatically, and you can access the amortisation schedule from the same page.
How to reduce your EMI for a Machinery Loan?
3 ways to reduce EMI amount on Machinery Loans are as follows:
- Opt for a longer tenure on loan: When you opt for a longer repayment tenure, the monthly payments become more affordable, allowing you to save some for the future.
- Make a higher down payment on the loan: While applying for a loan, making a higher down payment will help in reducing the loan amount and EMI.
- Negotiate for a lower interest rate: A good CIBIL score is always helpful while applying for a loan. You can negotiate a lower interest rate with a good credit score.
Frequently Asked Questions
A Machinery Loan is designed to help you purchase the latest machinery to boost sales and profits and improve business efficiency.
The maximum loan amount you can borrow from Poonawalla Fincorp for a Machinery Loan is ₹5 Crore.
The interest rate starts from 9.99% p.a*.
The loan repayment tenure for the Machinery Loan is 12 to 60 months.
Yes, if you have a good CIBIL/credit score, the chances of getting a loan increase. Also, you can negotiate the interest rate. sAlongside this, the lender will provide numerous favourable loan terms.
*Terms & Conditions Apply