Personal loan foreclosure & preclosure calculator

Both mean repaying the whole outstanding loan in one payment before the tenure ends; lenders use either word. Paying off only part of the loan is a part payment, or part prepayment.

Outstanding principal after your last EMI, plus the foreclosure charge (a % of the outstanding principal, if your loan has one), plus GST on that charge. Your lender's foreclosure letter may also add interest for the days since your last EMI and any overdue amounts.

It depends on the interest rate type. RBI rules don't allow foreclosure or prepayment charges on floating-rate loans to individuals for non-business purposes. On fixed-rate loans, the lender can charge as per its policy. For loans sanctioned or renewed from 1 January 2026, any charge must be based on the amount prepaid and disclosed in the sanction letter, loan agreement and KFS.

Yes. A foreclosure charge is a fee, not interest, so GST applies to it at 18% (the interest on the loan itself has no GST). It appears on your foreclosure letter. The calculator adds it at the rate you enter (18% by default); untick it if your letter shows none.

Compare the interest you'd avoid with the foreclosure charge plus GST. Early in the loan, most of each EMI is interest, so closing saves a lot; near the end, little interest is left and a charge can wipe out the saving. Keep an emergency fund rather than using every rupee to close the loan.

If you can't or don't want to clear the whole balance, a part payment still cuts interest. The loan prepayment calculator shows how much, and whether to reduce your EMI or your tenure.

On your loan statement or in your lender's app, usually shown as principal outstanding. Choose “From my statement” above and enter it; otherwise the calculator works it out from your loan amount, rate, tenure and EMIs paid.