Repayment Capacity
Repayment capacity is the EMI you can safely commit to after household expenses, dependants and existing loans. This tool applies both the 50% rule and a living-cost check, takes the lower figure, and shows the loan that EMI supports.
Frequently asked questions
How is repayment capacity calculated?+
We take the lower of two limits: 50% of income less existing EMIs, and income less household expenses, a dependant allowance and existing EMIs.
Why count dependants?+
Banks estimate a minimum living cost per household member. This tool uses Rs. 5,000 per dependant on top of your stated household expenses.
Does the bank use the same numbers?+
Each bank has its own credit policy. Treat this as a guide to what a reasonable underwriter will accept, then confirm with the lender.