Availing a personal loan is an excellent way to deal with the financial problems you may be facing. However, once you take a loan, you have to make monthly payments to ensure that the amount in addition to the loan is repaid. However, it could happen that your financial crunch passes quicker than you anticipated. In such a case, you may find yourself with funds to clear your debt. Additionally, you may feel that paying interest on an amount that you no longer need is counter-productive. So, you should consider prepayment of loan. Prepayment allows you to pay remaining amount of your loan along with the interest at once before the tenure of the loan is complete. Still, you will need a personal loan calculator to determine the exact amount that you will need to pay. The reason is that prepayment also includes pre-closure charges depending on the policies of the lender. So, what are pre-closure charges? Let’s find out:

Online Loan Calculator for Pre-closure Calculation

Pre-closure charges are levied by the lender to ensure that there is no loss is you decide to prepay your loan. The charges are calculated by considering the amount of loan outstanding, including the interest, depending on the tenure of the loan. Therefore, you will still need to pay a certain amount of the interest on the loan rather than just the remaining amount of the principal borrowed. However, if you prepay your loan, even with the pre-closure charges, you will need to pay lesser compared to the actual amount with interest. It is always a good idea to ascertain the amount that you will need to pay if you prepay the loan. A personal loan calculator will help you determine the amount that is needed to be paid in case of prepayment. Moreover, every online loan calculator is designed to ensure that they have an option for prepayment and consider the pre-closure fee.

Lightening Fast Loan Approvals up to INR 2 Lakhs

Banks have a reputation for being the best for availing loans. The reputation has been built due to their history but they also have a history of a slow approval process. In fact, every step involved in the loan process, including prepayment, is delayed in banks. However, you do not have to worry about it anymore, now you can apply for loans from anywhere and at anytime. PaySense offers you instant loans for amounts not exceeding INR 2 Lakhs. Moreover, the pre-closure fee is also mentioned by the online lender. Additionally, you can use the EMI calculator online to determine you amount of loan, EMI, interest rate, and prepayment if needed.