Finance

Flat vs Reducing Rate Calculator

Visualize the difference between flat-rate and reducing-balance loans with interactive charts, instant savings insights, and currency-aware controls.

$50K$5M
%
5%25%
1 years30 years

Flat vs Reducing Balance Interest

Flat Interest Rate
Reducing Balance Interest
Monthly EMI
$0
$0
Total Interest
$0
$0
Total Amount
$0
$0

Total Cost Visualizer

Flat Rate$0
Reducing Balance$0

Smart choice

You Save with Reducing Balance

$0

Switching to reducing balance interest trims your repayment schedule and keeps more money in your pocket.

Flat EMI

$0

Reducing EMI

$0

Interest composition

Flat Rate

Principal share

0.0%

Interest paid

$0

Interest share: 0.0%

Reducing

Principal share

0.0%

Interest paid

$0

Interest share: 0.0%

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Understanding the Difference

Flat Rate: Interest calculated on original principal amount throughout the loan tenure
Reducing Balance: Interest calculated on outstanding principal balance, decreasing over time