Compare your current loan with a refinanced one.
Moving a ₹30,00,000 balance from 9.5% to 8.5% over the same 15 years saves ₹1,784.55 a month. With ₹30,000 of costs you break even in 1 year 5 months and save ₹2,91,219.67 overall.
Refinancing means replacing your loan with a new one, usually to get a lower rate or change the term. Enter your current balance, rate and remaining term, then the new rate, new term and the costs of refinancing. The calculator compares the EMIs, the interest, the break-even time and the net saving over the loan.
Refinancing pays off only if you keep the loan long enough to recover the costs, and a longer new term can raise total interest. In India this is often done as a balance transfer or a rate reset. See the Mortgage Payoff Calculator and Mortgage Calculator.
The calculator applies the standard financial formulas step by step.
| Item | Value |
|---|---|
| Current EMI | ₹31,326.74 |
| New EMI | ₹29,542.19 |
| Monthly saving | ₹1,784.55 |
| Refinancing costs | ₹30,000.00 |
| Break-even (costs ÷ monthly saving) | 1 year 5 months |
| Remaining interest on current loan | ₹26,38,813.29 |
| Interest on new loan | ₹23,17,593.61 |
| Net saving over the loan (incl. costs) | ₹2,91,219.67 |
| Case | Monthly change |
|---|---|
| New rate 9% | −₹898.74 |
| New rate 8.5% | −₹1,784.55 |
| New rate 8% | −₹2,657.18 |
| New rate 7.5% | −₹3,516.37 |
| Costs ₹60,000 | −₹1,784.55 |
When the new rate is meaningfully lower, you will keep the loan past the break-even point, and the costs are modest.
The number of months of savings needed to recover the cost of refinancing.
It lowers the EMI but usually raises total interest. Compare the net saving, not only the monthly payment.
Processing fees, valuation and legal charges, prepayment penalties on the old loan (if any) and stamp duty in some cases.
A balance transfer moves your loan to another lender, which is a kind of refinancing.
Yes — consider a shorter term or a lump sum. Check the effect with the Mortgage Payoff Calculator.
It uses the standard formula: break-even = costs ÷ monthly saving The full method and a worked example are shown on this page.
No. The calculator gives estimates for planning and learning. Real offers vary by lender, product and date, so confirm the details with your bank, lender or a qualified adviser before deciding.
Yes. The maths is identical in any currency; only the currency symbol shown in the results differs.
No. Everything is calculated in your browser and nothing you enter is uploaded or saved.
