Muthoot Finance has set up a target to enhance its personal loan book to ₹3,000 crore by 2023, including ₹300 crore in the current fiscal. In a major move, the company plans to disburse personal loans to self-employed from the next year onward. This could really set up the game nicely for Muthoot Finance to compete against the housing finance companies at least, if not the premier banks.
Since it’s about a loan which can be given for a maximum of 5 years, you would need to service the same at the rate of interest charged on your credit. So, there will be interest cost which can be estimated perfectly by Muthoot Finance Personal Loan EMI Calculator. Let’s study what’s the calculator all about in this article.
How Much Would Interest Impact Your Muthoot Finance Personal Loan EMI?
Muthoot Finance offers a personal loan at an interest rate ranging from 14%-21% per annum, depending on the quantum of finance. Loans start at ₹50,000 and can go up to what you are eligible for, based on your financials. Now, you just need to switch on the calculator that can compute the EMI which you have to pay over the tenure you choose. What does the calculator do is to take into account the loan amount, rate of interest and tenure to compute the Equated Monthly Installment (EMI).
Let’s take an example to understand the function of the calculator better.
Example – You want a Muthoot Finance Personal Loan of ₹8 lakhs for 4 years. The lender, if suppose, offers you the same at 18% interest rate. In such a case, what would be the EMI applicable? The EMI would amount to ₹23,500, while the total interest is estimated to be ₹3,28,000 over the course of 4 years, as per Muthoot Finance Personal Loan EMI Calculator.
What Can You See in Muthoot Finance Personal Loan Amortization Schedule?
Actually, the amortization schedule opens up either adjacent or below the results of the EMI calculator. The schedule gives you a complete detail of the principal and interest repayment likely on a loan. Apart from that, the year-on-year outstanding loan balance would also be shown in the schedule.
You can thus set a prepayment plan with the help of bonus or investment proceeds to pay off the debt before it finishes originally. Also, you can ask for the amortization schedule from Muthoot Finance at the end of every year just to draw a parity between the repayment summary of what you saw before applying for a loan and what actually happened post availing the same. In most probability, the results are likely to be the same. However, if the rates are linked to market movement, there can be changes to what you see earlier.
How Should You Apply for Muthoot Finance Personal Loan?
Choosing between the online and offline applications depend on the level of comfort you can have with these two. If you love going online and do not have time to visit the lender’s branch, it’s better to switch on the laptop, desktop or even your mobile to apply for Muthoot Finance Personal Loan. However, if you find online application not so comfortable, you can just visit the nearest branch and apply by submitting the relevant documents.