Loan Eligibility Calculator
Lenders decide how much to lend mainly by checking how much of your income can go to EMIs. Enter your income and existing EMIs to see the largest loan that fits.
Results
Eligible loan amount
₹44,45,798
- Maximum new EMI
- ₹40,000.00
- Total monthly EMI capacity
- ₹50,000.00
With 50% of your income available for EMIs, you could afford an EMI of ₹40,000.00, which supports a loan of about ₹44,45,798.16.
Show the calculation steps
- Income available for EMIs = ₹1,00,000.00 × 50% = ₹50,000.00.
- Room for a new EMI = ₹50,000.00 − existing EMIs ₹10,000.00 = ₹40,000.00.
- Loan supported = EMI × (1 − (1 + r)^−n) ÷ r with r = 0.0075, n = 240 → ₹44,45,798.16.
- Lenders also look at credit score, age, job stability and the property or vehicle value, so their final offer can differ.
How eligibility is estimated
Lenders apply a limit on total monthly obligations, called the fixed obligation to income ratio (FOIR). The room left after your existing EMIs is the largest new EMI you can carry.
That EMI is turned back into a loan amount using the interest rate and tenure: a lower rate or longer tenure supports a larger loan.
What else lenders check
Credit score, age, employment type, and the value of the asset being financed all affect the final offer. This calculator shows the income-based limit only.
Formula
Total EMI capacity = income × FOIR
Maximum new EMI = capacity − existing EMIs
Loan = EMI × (1 − (1 + r)^−n) ÷ r
Where:
- FOIR
- = Fixed obligation to income ratio
- r
- = Monthly interest rate
- n
- = Number of monthly payments
Example calculation
₹1,00,000 income, ₹10,000 existing EMIs, 50% FOIR, 9% for 20 years
Inputs
- Net Monthly Income
- ₹1,00,000
- Existing EMIs
- ₹10,000
- Share of Income for EMIs
- 50 %
- Interest Rate
- 9 %
- Loan Tenure
- 20 years
Result
- Eligible loan amount
- ₹44,45,798
- Maximum new EMI
- ₹40,000.00
- Total monthly EMI capacity
- ₹50,000.00
Step-by-step
- Income available for EMIs = ₹1,00,000.00 × 50% = ₹50,000.00.
- Room for a new EMI = ₹50,000.00 − existing EMIs ₹10,000.00 = ₹40,000.00.
- Loan supported = EMI × (1 − (1 + r)^−n) ÷ r with r = 0.0075, n = 240 → ₹44,45,798.16.
Important notes
- The result is an estimate; the lender's offer can be lower because of credit score, age and other checks.
- Borrowing the maximum leaves little room in your budget. Consider borrowing less.
Disclaimer: This calculator provides estimates for informational purposes and should not be considered financial advice. Actual figures from lenders, banks and investment products can differ because of fees, taxes, rounding rules and changing rates. Consult a qualified professional before making financial decisions.
Frequently asked questions
What is FOIR?
Fixed obligation to income ratio: the share of monthly income that goes to fixed obligations such as EMIs. Many lenders cap it around 40–60%.
How can I increase my loan eligibility?
Increase income (or add a co-applicant), clear existing EMIs, choose a longer tenure or improve your credit score.
Does my eligibility mean I should borrow that much?
No. It is the most a lender may allow, not what is comfortable for your budget.
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