prepayment of home loan

POSTED BY Vinu ON October 5, 2011 10:14 am COMMENTS (8)


I have 15L home loan taken for 10 yr period with approximately 20K EMI. I have 5L in hand and would like to know if there is any benefit if I prepay the loan in first year of loan tenure or 2nd year?.

8 replies on this article “prepayment of home loan”

  1. ashal jauhari says:

    Dear Vinayak, For the given situation, your loan term ‘ll come down from original 120 months to 67 months. As you have already paid 2 EMIs, your remaining term ‘ll be 65 months, after prepayment of 5L Rs. in your home loan.



    1. Vinayak says:

      Thank You

  2. Anand says:

    Use the calculators at

    1. Vinayak says:

      Thank You Manish & Anand for your Valuable suggestions.

  3. Vinayak says:

    Thanks manish.
    This is a very good article to explain how Loan Amortization.

    Is there any calculation (or Calculator) to explain by how much loan term come down if I prepay 5 Lakhs? I only paid 2 EMI’s as of now.

    1. Vinayak

      You can use the same calculator for that .. after prepayment the loan outstanding will come down by 5 lacs , so just punch in the new numbers and see the new EMI

  4. Vinayak

    It would be good if you can prepay your loan by 5 lac .. your tenure of loan will drastically come down , read more on

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