Education Loan EMI Calculator
Calculate education loan EMIs including interest during the moratorium period.
About the Education Loan EMI Calculator
Enter the loan amount, interest rate, the course plus moratorium period, whether you'll pay interest during it, and the repayment term. The calculator shows the EMI after the moratorium and the total interest.
Indian education loans usually have a moratorium of the course length plus 6–12 months, during which no EMI is due, but interest still accrues (usually simple interest, added to the principal). Interest paid on an education loan is deductible under Section 80E for up to 8 years, with no upper limit (old regime).
The formula
Moratorium interest = P × r × years; EMI on P + that interest
Worked example
₹10 lakh at 10% with a 5-year moratorium, repaid over 10 years
- Paying nothing: ₹5 lakh of interest is added, so the EMI is ₹19,822.61 on ₹15 lakh
- Paying the interest (₹8,333 a month) during the moratorium: EMI ₹13,215.07
- Total interest falls from ₹13,78,713 to ₹10,85,809
Things to keep in mind
- Some banks compound moratorium interest instead of charging simple interest; check your sanction letter.
Questions people ask
Should I pay interest during the moratorium?
Yes, if you can: it stops the balance growing and lowers your EMI.
Is there a subsidy?
The Central Sector Interest Subsidy scheme covers moratorium interest for eligible lower-income students.
Who can claim the 80E deduction?
The person repaying the loan taken for their own, their spouse's or their children's higher education.