Loan Eligibility Calculator
Estimate how much loan you may be eligible for based on your income, existing EMIs, interest rate, and loan tenure.
Loan Eligibility Result
A Loan Eligibility Calculator helps estimate how much loan amount you may be eligible for based on your income, existing financial obligations, interest rate, and loan tenure. Banks and lenders commonly use similar calculations to assess a borrower’s repayment capacity.
Knowing your loan eligibility in advance helps you plan better, avoid loan rejections, and choose a loan amount that fits comfortably within your monthly budget.
How Loan Eligibility Is Calculated
Most lenders follow an income-based approach to determine loan eligibility. A fixed portion of your monthly income is considered affordable for loan repayment after accounting for existing EMIs and obligations.
Key Factors Affecting Loan Eligibility
- Monthly Income: Higher income generally increases eligibility
- Existing EMIs: Ongoing loan repayments reduce available repayment capacity
- Interest Rate: Lower rates allow higher loan eligibility
- Loan Tenure: Longer tenure may increase eligibility but raises total interest
Understanding the Results
- Maximum Eligible EMI: The highest monthly installment considered affordable
- Eligible Loan Amount: Approximate loan amount you may qualify for
- Income Used for EMI: Portion of income assumed for repayment
Once you know your eligible loan amount, you can calculate your monthly repayments using our Home Loan EMI Calculator or explore investment planning using the SIP Calculator.
Important Notes
- Loan eligibility shown is an estimate, not a loan offer
- Actual eligibility may vary by lender and credit profile
- Processing fees, insurance, and taxes are not included
Input Rules & Guidelines
- Monthly income should be entered as net income after taxes
- Existing EMIs should include all current loan obligations
- Interest rate should be entered as annual percentage
- Loan tenure is measured in years
- The calculator assumes up to 50% of income can be used for EMI repayment