Is the interest rate fixed or variable in the LAP EMI Calculator?

The interest rate used in the LAP EMI Calculator can be fixed or variable depending on the options provided by the loan provider.

Some financial institutions may allow you to choose between a fixed or variable interest rate option when using the LAP EMI Calculator. In a fixed rate, the interest rate remains constant throughout the tenure of the loan. Variable rate changes periodically based on market conditions.

If a fixed rate option is chosen, the EMI calculated will remain the same throughout the tenure, assuming timely repayments. If a variable rate is chosen, your EMI will change every time the interest rate is reset, typically every 6 months to 1 year.

The calculator may also have a provision to input your own customised interest rate. You can enter the prevailing lowest fixed or variable rate to arrive at the EMI amount applicable specifically to you.