UCO Bank offers personal loans of up to Rs. 15 lakh to salaried and self-employed individuals/professional as well as pensioners. With interest rates starting at as low as 8.45% p.a. the loan amount can be used to meet various financial needs including the purchase of consumer durables, fund travel expenses, etc. Personal loans are payable using Equated Monthly Installments i.e. EMIs. The UCO Bank personal loan EMI calculator helps you calculate your monthly payouts even before you apply for a loan and lets you plan your finances in a better way. It enables you to know the cost of the loan and finalize the loan amount and tenure according to your repayment ability. Some key features of UCO Bank personal loan EMI like its method of calculation, factors affecting the EMI amount, charges levied on non- payment of EMI, ways to make EMI payments, etc. are discussed in the following sections.
UCO Bank Personal Loan EMI Calculator
Equated Monthly Installment (EMI) is the amount of money that a borrower needs to pay every month to a lender (bank/financial institution) in order to repay a loan. UCO Bank personal loan EMI calculator is such a tool that lets you compute the cost of the loan even before you apply for it and enables you to manage your finances in a better way. Instead of opting for a bank specific calculator, you can also use Paisabazaar’s personal loan EMI calculator to calculate your loan EMIs for free. Key personal loan parameters like loan principal, interest rate and tenure can be used to compute EMIs. You can use varying combinations of these loan parameters to reach at the most convenient EMI for yourself.
How an EMI Calculator Functions?
The following 3 parameters are required for the EMI calculator to function:
- Loan Amount: It is the amount of money/principal amount that you borrow from UCO Bank. Typically, a higher amount results in higher EMI payouts. UCO Bank offers personal loans up to Rs. 15 lakh to its customers.
- Interest Rate: It is the rate at which interest is charged on the loan amount. UCO Bank personal loan interest rate starts as low as 8.45% p.a. A higher interest rate generally results in higher EMI payouts over the entire tenure of the loan as compared to a lower interest rate.
- Loan Tenure: Loan tenure is the period over which you can repay the loan. UCO Bank personal loans come with a repayment tenure ranging between 12 to 60 months. Usually, a shorter repayment tenure results in higher EMI payouts. However, it may help you to save on the total interest payout for the loan.
UCO Bank Personal Loan EMI Calculation
UCO Bank personal loan EMIs are calculated using the reducing balance method of interest calculation. The table below shows EMI calculation for UCO Bank personal loans using varying combinations of loan amount, tenure and interest rates:
|Loan Amount (Rs.)||Interest Rate (p.a.)||Tenure (months)||EMI (Rs./month)|
Comparison of EMI Calculation Methods: Flat Interest Rate v/s Reducing Balance Interest Rate
The following table gives a comparison of the difference in EMI payable when using the flat interest rate method v/s when the reducing balance method is used for different loan amounts, tenures and interest rates:
|Loan Amount (Rs.)||Loan Tenure (months)||Interest Rate (p.a.)||EMI using Flat Rate method|
|EMI using Reducing Balance method|
Factors Affecting UCO Personal Loan EMI
Some key factors which affect UCO Bank personal loan EMIs are discussed below:
- Loan Amount: The amount of money that you borrow from the lender is known as the loan amount or loan principal. Generally, a greater loan amount leads to a higher EMI payout.
- Loan Tenure: It is the period of time over which the loan repayment can be made. Usually longer loan tenure results in lower EMI payouts. However, it may also result in greater interest payout.
- Interest Rate: It is the rate of interest charged by the lender on the loan amount. Generally a higher interest rate leads to a higher EMI payout.
- Interest Calculation Method: Interest payable is also affected by the method used to calculate personal loan EMIs. Most often, EMIs calculated using the reducing balance method are slightly lower as compared to EMIs calculated using the flat rate method.
Benefits of Using an EMI Calculator
The following are some of the key advantages of using an EMI calculator:
- Better Management of Finances: EMI calculator enables customers to assess the cost of the loan even before they apply for it. This helps them to make informed decisions and aids in better planning of finances. It enables them to choose a loan amount and tenure that suits their budget.
- Free to use: EMI calculator can be used anytime and anywhere for free. Also, there is no limit to the number of times that you can use the calculator and thus, you can compare EMI amounts of different personal loans from several lenders and choose the best option for yourself.
- Saves Time: It gives them instant results and they no longer have to carry out tedious mathematical calculations manually and thus, helps to save a lot of time.
- Accurate and Reliable: An EMI calculator uses computerized algorithms to give error-free results and is thus, more accurate and reliable as compared to manual calculations done by hand.
Q1. Can I opt for the autopay option to make my UCO Bank personal loan EMI payment?
Yes, you can choose to autopay your personal loan EMIs by opting for the ECS facility.
Q2. Are the prepayment charges shown by the EMI calculator?
No, the EMI calculator does not show the prepayment charges. However, you can check the prepayment charges in the loan agreement provided by the lender.
Q3. What is floating rate of interest?
Floating interest rate is variable in nature and is based on market fluctuations and RBI policies. For example, Repo Linked Lending Rate (RLLR) is influenced by the repo rate. Whenever RBI changes the repo rate, a similar change is reflected in the loan interest rate. At present, the floating interest rate mechanism is not applicable to UCO Bank personal loans.
Q4. Can I pay UCO Bank personal loan EMIs in cash?
No, you cannot pay UCO Bank personal loan EMIs in cash. Available payment options include postdated cheques and drafts.
Q5. Is there a limit on the maximum value that I can enter for the loan amount and tenure in the personal loan EMI calculator?
You can calculate EMI payouts for personal loans up to Rs. 25 lakh and for tenure ranging up to 60 months using Paisabazaar’s UCO Bank personal loan EMI calculator. However, personal loan tenure generally ranges between 12 to 60 months.
Q6. How to arrive at the right EMI amount?
You can use an EMI calculator to check different combinations of loan amount, tenure and interest rate to reach an EMI amount that suits you. Consider all your outstanding debt and regular monthly expenditure before finalizing a convenient EMI amount that you can pay off easily without disturbing your financial stability.
Q7. Can I reschedule/postpone my personal loan EMI?
No, you cannot postpone/reschedule your UCO Bank personal loan EMIs.