Estimates the maximum EMI (and loan amount) a lender is typically willing to sanction, based on the standard FOIR (Fixed Obligation to Income Ratio) method most Indian banks use.
Banks use FOIR (Fixed Obligation to Income Ratio) to decide how much EMI you can safely take on — typically capping total EMIs (existing + new) at 40-60% of your net monthly income, depending on your income level and the lender's policy. This calculator works backward from your affordable EMI to estimate the maximum loan amount at a given rate and tenure.
Your actual sanctioned amount can differ from this estimate based on your credit score, employment stability, existing liabilities not captured here, and the specific lender's underwriting rules — treat this as a planning estimate, not a guarantee.
It varies by income bracket and lender — often around 40-50% for lower incomes and up to 55-65% for higher earners, since higher earners typically have more disposable income after essential expenses.
Yes — a low credit score can reduce the loan amount a bank is willing to sanction, or lead to outright rejection, independent of your income level.
A longer tenure spreads the same EMI over more months, which increases the total principal that EMI can service — that's why eligibility calculators show higher loan amounts for longer tenures at the same affordable EMI.