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Education Loan Calculator

Estimate your education loan EMI after the moratorium, and see what paying or adding the moratorium interest does to it.

By Nitin Raturi · Last reviewed

Your worksheet

How to use the Education Loan Calculator

See how the moratorium changes your EMI and total interest.

  1. Enter the loan amount and interest rate.
  2. Enter the moratorium in months.
  3. Choose whether you pay interest during the moratorium or add it to the loan.
  4. Enter the repayment period and read the EMI; open the table for each year.

Good to know

  • Tap the ⓘ next to any field for a short guide to it.

Interest runs during the moratorium. Pay it as you go, or let it be added to the amount you repay through EMIs.

Loan amount

The total education loan sanctioned.

How to fill it in

  • Type 10 lakh, 1000000 or 10,00,000. Allowed range: ₹10,000 to ₹100 crore.

Interest rate

The yearly rate on the loan, from your sanction letter.

How to fill it in

  • Enter 0% to 20% a year.

Keep in mind: Many education loans have floating rates, which can change during the loan.

Moratorium

The months before EMIs start, as set in your sanction letter. It often covers the course and some months after it.

How to fill it in

  • Enter 0 to 84 whole months. Enter 0 if repayment starts at once.

Example

48 months on ₹10 lakh at 10% adds ₹4 lakh of simple interest.

Interest during the moratorium

Whether you pay the interest as it falls due, or let it be added to the loan.

How to fill it in

  • Added to the loan: nothing to pay now, but a bigger loan later.
  • Paid monthly: a small payment now keeps the loan from growing.

Example

Paying ₹8,333.33 a month during the default moratorium lowers the EMI from ₹18,501.10 to ₹13,215.07.

Repayment period

How many years of EMIs after the moratorium ends.

How to fill it in

  • Enter 1 to 15 whole years.

Estimated EMI after the moratorium

₹18,501.10

During the 48-month moratorium, ₹4 lakh of interest is added, so you start repaying ₹14 lakh. The EMI then runs for 10 years.

Interest during the moratorium
₹4,00,000.00
Amount to repay through EMIs
₹14,00,000.00
Total interest
₹12,20,132.38
Total paid
₹22,20,132.38

Banks differ: some compound interest during the moratorium, and fees are often paid out in stages, not all at once. Check your sanction letter.

Fixed 10% a year. Simple interest during the moratorium on the full amount, disbursed at the start; reducing-balance EMIs at the end of each month. Excludes fees, tax benefits and rate changes.

Full schedule and CSV

Display rounds only for reading. CSV preserves full precision.

Repayment summary for each year after the moratorium
Repayment yearPaid (INR)Interest (INR)Principal (INR)Balance at year end (INR)
1₹2,22,013.24₹1,36,134.66₹85,878.58₹13,14,121.42
2₹2,22,013.24₹1,27,142.05₹94,871.19₹12,19,250.24
3₹2,22,013.24₹1,17,207.80₹1,04,805.44₹11,14,444.80
4₹2,22,013.24₹1,06,233.30₹1,15,779.94₹9,98,664.86
5₹2,22,013.24₹94,109.63₹1,27,903.61₹8,70,761.25
6₹2,22,013.24₹80,716.45₹1,41,296.79₹7,29,464.46
7₹2,22,013.24₹65,920.83₹1,56,092.41₹5,73,372.05
8₹2,22,013.24₹49,575.91₹1,72,437.33₹4,00,934.72
9₹2,22,013.24₹31,519.47₹1,90,493.77₹2,10,440.95
10₹2,22,013.24₹11,572.28₹2,10,440.95₹0.00

ChangelogHow we test this calculatorEmbed this calculator

How this calculator works

  1. Step 1Moratorium48 monthsNo EMIs while you study, but interest still runs.
  2. Step 2Interest builds up₹4 lakhSimple interest at 10% on ₹10 lakh.
  3. Step 3EMIs begin₹18,501.10On ₹14 lakh for 10 years.

A moratorium pauses EMIs, not interest. What happens to that interest makes a large difference to what you repay later.

Worked example

With interest added during a 48-month moratorium, a ₹10 lakh loan becomes ₹14 lakh before the first EMI.

Default: interest added to the loan
Moratorium interest
L × r ÷ 12 × M
EMI
P × k ÷ (1 − (1 + k)^−n)
  • Lloan amount ₹10,00,000.00
  • ryearly rate 10%
  • Mmoratorium months 48
  • Pamount to repay through EMIs ₹14,00,000.00
  • nnumber of EMIs 120
  1. Interest during the moratorium₹4,00,000.00
  2. Amount to repay₹14,00,000.00
  3. Interest paid through EMIs₹8,20,132.38
  4. Total interest₹12,20,132.38
  5. Monthly EMI₹18,501.10

Reading the result

Paying the moratorium interest as it falls due keeps the loan from growing.

  • Interest added to the loan₹18,501.10 EMINothing to pay while studying. Total interest ₹12.2 lakh.
  • Interest paid monthly₹13,215.07 EMI₹8,333.33 a month while studying. Total interest ₹9.86 lakh.
  • No moratorium₹13,215.07 EMIRepayment starts at once. Total interest ₹5.86 lakh.

The calculator treats the full loan as paid out on day one. Banks often pay fees in stages, so real interest during the moratorium can be lower.

A loan covers part of the cost. Future fees and savings are the other parts.

To project fees year by year, use the college cost calculator. For saving towards them, try the SIP calculator, and for a daughter’s education, the SSY calculator.

Common mistakes

  • Mistake: Thinking no EMI means no interest.

    Instead: Interest runs during the moratorium; check how it is handled.

  • Mistake: Planning with the sanctioned amount as the amount to repay.

    Instead: Add the moratorium interest if it is not paid as you go.

  • Mistake: Assuming every bank uses simple interest during the moratorium.

    Instead: Check your sanction letter; some compound it.

This calculator shows arithmetic on your inputs. It does not recommend any lender or loan.

Read how we test our calculators, or browse more money calculators.

Frequently asked questions

What is a moratorium on an education loan?

It is a period, set by your lender, when you do not pay EMIs, usually while you study. Interest still runs during it.

How is interest during the moratorium calculated here?

As simple interest on the full loan: loan × yearly rate ÷ 12 × moratorium months. If you do not pay it, it is added to the amount you repay through EMIs.

Should I pay the interest during the moratorium?

That depends on your situation. The calculator shows both options so you can compare the EMI and the total interest.

Does it include the tax deduction on education loan interest?

No. Tax rules are not modelled. Check the current rules with the Income Tax Department or a tax adviser.

Why might my bank’s figure be different?

Banks may pay fees in stages, compound interest during the moratorium or change a floating rate. The calculator states its assumptions under the result.

Sources and methodology

The formulas are standard time-value-of-money results. We check every figure against golden values worked out independently, by closed form and by month-by-month simulation; see the methodology.

Written and maintained by Nitin Raturi, a software engineer (about the author). Last reviewed 27 Oct 2026; next review due by . Found an error? Tell us.

Changelog

  • : Initial release. Demand metrics remain unverified.

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