Two loans, one clear answer on which costs less.
A lower headline interest rate doesn't always mean a cheaper loan — tenure, processing fees, and how the rate is calculated (flat vs. reducing balance) all change the real cost. This tool lets you set up two complete loan scenarios independently — different amounts, rates, or tenures for each — and see which one actually costs less in both monthly EMI and total interest paid.
This is especially useful when you're choosing between two lenders quoting different combinations of rate and tenure, or deciding between a shorter tenure at a slightly higher EMI versus a longer one that's easier on your monthly budget but costs more overall.
Once you know which loan is cheaper on paper, also weigh processing fees, prepayment charges, the lender's service quality, and how quickly they disburse funds — a slightly more expensive loan from a more flexible lender can sometimes be the better real-world choice. Use this tool to get the pure numbers right first, then factor in the rest.
$2,326
$258,215
$558,215
$2,326
$258,215
$558,215
Loan A saves you $0 in total interest vs Loan B.
Loan A is $0 cheaper per month than Loan B.
What should I compare besides the interest rate?
Processing fees, prepayment or foreclosure charges, whether the rate is fixed or floating, and the total tenure all affect the real cost of a loan. Two loans with the same interest rate but different tenures will have very different total interest costs.
Why does a lower EMI sometimes mean a more expensive loan?
A lower EMI is often the result of a longer tenure, which spreads the same principal over more months but accumulates more total interest along the way. Always check both the EMI and the total interest/total repayment figures together.
Can I compare a home loan against a loan against property?
Yes — enter each loan's amount, rate, and tenure into the two columns above regardless of loan type, and the tool will compute and compare the EMI and total interest for both on equal footing.
Does this tool account for processing fees?
This comparison focuses on EMI and interest based on amount, rate, and tenure. Factor in any processing fees or charges separately, since these are typically deducted upfront and vary by lender.