What is a moratorium period in an education loan?

A moratorium period is a grace period during which you don't need to pay EMI. It typically covers the course duration plus 6-12 months after completion. Interest may still accrue during this period.

Does interest accrue during the moratorium?

Yes. Most lenders charge simple interest on the disbursed amount during the moratorium. This interest is added to the principal, increasing the total repayable amount.

What are typical education loan interest rates?

Education loan interest rates typically range from 7% to 12% per annum depending on the lender, course, and whether the loan is secured or unsecured.

Education Loan Calculator

Education Loan Details

Loan Amount

Interest Rate (Annual)

Moratorium Period

yrs

Repayment Term

yrs

Loan Results

Original Loan Amount -

Interest During Moratorium -

Outstanding After Moratorium -

Monthly EMI (Post Moratorium) -

Total Interest Paid -

Total Amount Repaid -

Year-by-Year Amortization

Year	Phase	Opening Balance	Payment / Accrual	Principal	Interest	Closing Balance

What is an Education Loan Calculator?

An education loan calculator helps students and parents estimate the EMI and total cost of a study loan. It uniquely accounts for the moratorium (grace) period during which interest accrues but no EMI is due.

Understanding the Moratorium Period

What it is: A grace period (typically course duration + 6-12 months) before EMI repayment starts.
Interest continues: Simple interest accrues during this period and is added to the principal.
Impact: Longer moratorium means higher outstanding amount and more total interest.
Tip: Paying interest during moratorium (if allowed) can save significant money.

How It Works

Moratorium Interest = P × r × moratorium_months

Where r = monthly rate (annual rate / 12 / 100)

Outstanding after moratorium = P + Moratorium Interest

EMI = Outstanding × r × (1 + r)ⁿ / ((1 + r)ⁿ − 1)

Where n = repayment months

How to Use

Enter the total Loan Amount (course fee + expenses).
Set the annual Interest Rate.
Enter the Moratorium Period in years (course duration + grace).
Set the Repayment Term (years after moratorium).
Click "Calculate" to see results and amortization.

Find a Calculator

Browse All Calculators →