Cholamandalam Investment and Finance Company Limited (Chola) was incorporated in 1978 as the financial services subsidiary of the US $7 billion diversified Murugappa Group. Chola started its operations in equipment financing only and has grown big to offer vehicle finance, home loans, loan against property, SME loans, Secured Business Personal Loans, Consumer & Small Enterprises Loans, Loans against securities and many other products to its clients.
Chola currently has its presence in 1438 branches with the AUM more than INR 1,70,000 Crore throughout India.
What is Chola EMI Calculator anyways?
A Cholamandalam EMI calculator is a financial tool that enables the borrowers to determine their monthly payment for the loans right from the comfort of their home without having to visit the Chola Finance Company to request EMI estimates for the intended loan products. This useful application helps the client to organize all financials well by offering estimates of EMI before going for a loan so that you can plan your monthly budget in a much effective way
What is the Formula Used for Personal Loan EMI Calculation?
The formula for calculating EMI is-
EMI = [P x R x (1+R)^N]/ [(1+R)^(N-1)]
In this formula-
P= The Principal Amount
R= The Interest Rate
N= The Tenure of Loan
This formula calculates the fixed monthly payment required to repay a loan within a specified tenure at a given interest rate.
Types of Chola EMI calculator
- Personal Loan EMI Calculator: Personal Loan EMI calculator from Chola Finance helps you to compute the monthly EMI that you will have to pay towards the outstanding loan.
- Home Loan EMI Calculator: Home Loan EMI calculator from Chola Finance helps you to compute the monthly EMI that you will have to pay towards the outstanding loan. It takes into account factors like loan amount, tenure, and reducing balance interest rates
- Business Loan EMI Calculator: Helps the business persons able to calculate the EMI for their business loan taken
- Vehicle Loan EMI calculator: Helps individuals calculate the EMI for their car loan taken from Chola. People can be aware of the EMIs in advance so that they can play their monthly budget without any hassles
How to Use Chola EMI Calculator?
- Click on Chola EMI calculator under list of EMI calculators
- Enter the loan taken, applicable interest rate, and your tenure in the appropriate boxes
- Your EMI will be displayed along with total interest and total loan cost
- Adjust Inputs if Necessary to calculate the EMI for different scenarios
Advantages of Using a Chola Finance EMI Calculator
- Convenience: You can use the calculator to compute for EMIs at any given time and location as long as there is internet connection.
- Financial Planning: This assists in planning of resources and how to obtain a loan without defaulting before going for a loan.
- Comparison: Get to adjust the parameters such as interest rates, tenure, and loan amount to see loan calculation for different scenarios
- Transparency: Allows customer to see the overall interest charge for the duration of the loan request period.
- Time-Saving: Saves time a lot of time since one does not have to make manual calculations individually.
FAQs on Chola EMI Calculators
1. What are the inputs included in the calculator which affect the percentage interest rate?
The interest also depends on factors like credit score, loan size and loan period and other set policy basing on the company. The rate shown is a standard rate; the actual rate may be slightly different.
2. Can I calculate the loan amount for pre-approved loan using EMI?
Of course, the calculator only offers estimates for the EMIs. Loan approval varies with a formal loan application and mandatory credit assessment from the applicant.
3. Can I pre-close the loan before its tenure?
Chola should probably have a prepayment policy. Though the majority of these sites provide free registration and basic services, it pays to read their ‘terms & conditions’ for information on any charges or possible fines.
4. Can I find this EMI calculator in a mobile application?
This calculator is available at Chola Finance official website or here at Fincover.