Cost of Debt Calculator
See the true cost and debt premium of buying an item on EMI.
Quick Summary: Cost of Debt Calculator
Buying on EMI often hides the 'debt premium'—the extra cost over the cash price. For FY 2026-27, even 'no-cost' EMIs carry hidden processing fees and 18% GST on interest, making the item 3-7% more expensive. This tool reveals the true interest rate.
How to use the Cost of Debt Calculator
- 1
Enter cash purchase price
Input the standard cost of the product if purchased upfront with cash.
- 2
Provide EMI transaction details
Enter the down payment, monthly EMI amount, processing fees, and tenure in months.
- 3
Review true interest rate (IRR)
Calculate the effective annualized interest rate and the total debt premium paid.
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Regulatory Disclaimer
Last verified May 2026
Nature:Calculator platform and is NOT a SEBI-registered Investment Adviser. All calculations are indicative.
Risk:"Investments in securities market are subject to market risks. Read all related documents carefully before investing."
Consult a SEBI-registered IA or CA for personalised advice.
9 out of 10 traders in F&O incurred net losses (SEBI 2023). Tax estimates based on IT Act 2025. Trezoriq is not liable for financial decisions based on results.