Loan Eligibility Calculator
Find out the maximum loan amount you can get.
Eligible Loan Amount
Total Income
Existing EMIs
Available for EMI
Your Monthly Income Split
Loan Repayment Schedule (Amortization)
| Year | Opening Balance | Principal Paid | Interest Paid | Closing Balance |
|---|---|---|---|---|
| Enter details to see schedule. | ||||
What is Loan Eligibility?
Loan Eligibility is the maximum amount of money that a bank or lender is willing to lend you. This is based on your financial health, primarily your income and your repayment capacity.
How to Use This Loan Eligibility Calculator
- Gross Monthly Income: Enter your total salary *before* any deductions.
- Existing Monthly EMIs: Enter the total amount of all EMIs you are *currently* paying.
- Loan Tenure: Select the number of years you are willing to repay this new loan.
- Interest Rate: Enter the expected interest rate for the new loan.
- Bank's Affordability Rule (FOIR): Adjust this slider to see how different banks might view your application. Standard is 50%.
Key Factors That Determine Your Loan Eligibility
1. Your Income and FOIR
Banks use a metric called FOIR (Fixed Obligation to Income Ratio). Most banks assume you can use 40% to 50% of your gross income to pay all your EMIs.
2. Credit Score (CIBIL Score)
While our calculator doesn't ask for it, your CIBIL score is critical. A score above 750 makes you a low-risk borrower.
3. Loan Tenure
A longer tenure (e.g., 30 years) reduces your monthly EMI, allowing you to borrow a larger principal amount for the same income.
How to Improve Your Loan Eligibility
- Pay Off Existing Debts: Close small loans to increase your "Available for EMI" amount.
- Add a Co-Applicant: Adding a spouse or parent combines incomes, dramatically increasing eligibility.
- Choose a Longer Tenure: Opting for a 25-year loan instead of 15 will increase the eligible amount.
Frequently Asked Questions (FAQs)
Q. Why is the bank's offer different from this calculator?
This calculator gives an accurate *estimate* based on financial formulas. Banks also consider qualitative factors like employer reputation, job stability, and internal risk policies.
Q. What is LTV (Loan-to-Value) Ratio?
For Home Loans, banks only finance a percentage of the property value (e.g., 80% LTV). You must pay the rest as a down payment. Your final loan amount is the lower of your income eligibility and LTV limit.