Core Calculators
Interest Rate Calculator
Find the implied annual interest rate from loan amount, EMI and tenure
Known values
₹
₹
yrs
Implied interest rate
0%
How the rate is found
Given principal, EMI and tenure, the annual rate is solved numerically using the standard EMI formula.
EMI = P × r × (1+r)n / ((1+r)n − 1) — solved for rate
Why use it
Detailed features
Reverse calculate
Find rate when EMI is known.
Verify offers
Check if a quoted EMI matches the stated rate.
Precise solver
Binary-search to 2 decimal places.
On the go
Also in the Toolance app.
Frequently asked questions
It helps you find the rate implied by a loan or investment when you already know the principal, tenure and payment or return. Useful when a lender quotes EMI but not the effective annual rate clearly.
Flat rate charges interest on the full principal for the entire tenure, so the effective rate is higher. Most bank loans in India use reducing balance, which is fairer and cheaper for the borrower.
Make sure both quotes are on reducing balance and for the same tenure. Also check processing fees, insurance and prepayment rules, because the lowest rate is not always the cheapest loan.
You can use it wherever you know principal, time and payout. For FDs, enter maturity value and tenure to estimate the effective annual return before tax.
APR includes interest plus certain fees spread over the loan life. It gives a fuller picture than the headline rate alone. Ask your lender for the all-in cost if you want an exact APR.
Rounding on EMI, odd first instalment dates or bundled charges can shift the number a bit. Use this as a close check, then confirm with the bank's schedule.
No. This tool gives an approximate figure for comparison. Read your loan agreement and speak to a qualified adviser before you commit to a large loan.
Yes, you can use it online without signup or fees. Run as many scenarios as you need from your phone or laptop.