Credit Card EMI Calculator
Converting a big purchase to EMI spreads the cost, but banks add interest, a processing fee and 18% GST on both. Enter the details to see your monthly EMI and the true total cost.
Credit card EMI formula
EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1), where P is the amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100) and n is the number of months.
GST at 18% is charged on the interest part of each EMI and on the processing fee. That is why the total cost is higher than the EMI × months.
Is no-cost EMI really free?
With no-cost EMI, the merchant gives you a discount equal to the interest, so the interest cancels out. But you still pay GST on the interest and usually a processing fee, so it's rarely completely free.
FAQs
Is GST charged on credit card EMI?
Yes. 18% GST applies to the interest part of each EMI and to the processing fee.
Can I foreclose a credit card EMI?
Most banks allow it, usually with a foreclosure charge of 2–3% of the outstanding principal plus GST.