Archive · 10 Oct 2026
How Personal Loan Rates Shape EMIs and Total Borrowing Costs
A personal loan is money you borrow and pay back over time.
The interest rate affects how much extra money you pay to borrow it.
For a Rs.
3 lakh loan at 12.5% interest, paying it back over three years means an EMI of about Rs.
10,036 each month.
The total interest would be about Rs.
61,299.
If you take five years to repay, each monthly payment falls to about Rs.
6,749.
But you pay more interest overall—around Rs.
1 lakh.
A loan calculator can help compare different payment plans.
SMFG India Credit offers an online calculator for this purpose.
A Rs. 3 lakh loan at 12.5% annual interest has an approximate EMI of Rs. 10,036 over three years.
The three-year loan would accrue around Rs. 61,299 in total interest.
Extending the loan tenure to five years lowers the approximate EMI to Rs. 6,749.
The five-year option increases total interest to around Rs. 1 lakh.
SMFG India Credit offers an online calculator to compare loan amounts, rates, tenures, EMIs, and interest costs.
- Who
- People comparing personal loan repayment options; SMFG India Credit is named as a provider of an online EMI calculator.
- What
- The article explains how interest rates and loan tenure affect monthly EMIs and total interest costs.
- Why
- To show how borrowers can compare repayment amounts and total borrowing costs using an EMI calculator.
- Example loan amount
- Rs. 3 lakhs
- Annual interest rate
- 12.5% p.a.
- Three-year EMI
- Approximately Rs. 10,036
- Interest over three years
- Around Rs. 61,299
- Five-year EMI
- Approximately Rs. 6,749
- Interest over five years
- Around Rs. 1 lakh
- Calculator provider named
- SMFG India Credit