Personal Loan Calculator SBI

Keep in mind that as the time to pay (term) increases, so does the total amount to be paid, and conversely, the less time you take to pay the loan, the higher the installments will be.

This calculator includes all the internal calculations that banks perform under strict policies to accurately total: The Installment and Interest according to the amount and term requested by the client.

Enter the Amount to lend, the Interest Rate (without the percentage sign), the number of months or years in which you plan to repay it. And in case of Extraordinary payments, enter the amount. At the end click on "Calculate".

This simulator includes an amortization table, which is a monthly summary of the evolution of your loan. The term " Amortization" means: Paying off a loan in "x" amount of time in payments, and this includes the principal (amount borrowed) plus interest.

The method used in this calculator is the "French Model", which stands out for segregating the payments in equal installments in the agreed amount of time. It also has the particularity that in the first payments, the largest percentage is destined to the interest and the rest to the capital.

Remember that owing a bank is not the same as owing your uncle. When you apply for a loan, you are making a financial commitment.

What is a Personal Loan?

Loans granted to natural persons (not legal entities), with the main purpose of paying for goods, services or any other non-business related expenses, are known as Personal Loans or Personal Consumption Loans.

These are very different from mortgage loans, which are much larger and have terms of 10 years or more. Generally the interest rates for these loans do not change over time, this is known as a FIXED INTEREST RATE.

The amount of the loan is what is known as the Total Acquired Debt and the QUOTA is the minimum amount to be paid, according to the agreed term: Monthly, Annual, Weekly or Daily.

Take into account some items that are not contemplated in the calculations, which are not always present:

  • Disbursement Fee or Origination Fee: These are due to the paperwork and analysis costs to grant the loan.
  • Early cancellation fee: This is a percentage of the remaining amount. In many countries, laws prohibit this type of fee.
  • Brokerage Commission: This is the charge for preparing a document, which indicates that the client has paid the total amount of the debt.