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