What is a Loan Eligibility Calculator?
A Loan Eligibility Calculator is a free online tool that helps you calculate the maximum loan amount you are eligible for based on your monthly income, existing emis, and interest rate. FinCalc Pro offers India's most accurate Loan Eligibility Calculator with instant results, detailed charts, and step-by-step breakdowns — completely free with no login required.
Loan Eligibility Calculator Formula
FOIR (Fixed Obligation to Income Ratio) is 40-50% for most banks. Net Income = Salary − Tax − PF. Existing EMIs reduce eligibility. The formula reverses the EMI formula to find max principal.
How to Use Loan Eligibility Calculator
- Enter your gross monthly income (salary)
- Enter existing monthly EMI obligations (car loan, personal loan, etc.)
- Enter the loan interest rate and desired tenure
- Click Calculate to see maximum eligible loan amount
- Adjust inputs to see how income increase or tenure extension affects eligibility
Loan Eligibility Calculator — Example
Salary: ₹80,000 | Existing EMI: ₹10,000 | FOIR 50%: Max EMI = ₹30,000 | Rate: 8.5% | 20 yrs → Max Home Loan: ₹33,00,000
Benefits of Using Loan Eligibility Calculator
- Know your eligibility before applying — avoid rejection
- Plan down payment requirement based on eligible loan amount
- Understand how existing debt reduces home loan eligibility
- See impact of co-applicant income on loan eligibility
Frequently Asked Questions — Loan Eligibility Calculator
What is FOIR and how does it affect loan eligibility?
FOIR (Fixed Obligation to Income Ratio) is the maximum share of your income banks allow for EMI payments. Most banks set FOIR at 40-50%. If your salary is ₹80,000, maximum EMI obligations allowed are ₹32,000-₹40,000 including the new loan EMI.
Can I increase my home loan eligibility?
Yes. Add a co-applicant (spouse, parent) to combine incomes. Close existing loans to reduce FOIR usage. Choose a longer tenure to reduce required monthly EMI. Show additional income sources (rent, freelance) with proper documentation.
Does credit score affect loan eligibility amount?
Yes. A CIBIL score above 750 gets the best rates and higher loan amounts. A score below 650 may result in rejection or lower loan amounts at higher rates. Each bank has its own CIBIL cutoff — typically 700+ for home loans.