Home » How to manage your personal loan EMI with monthly salary

How to manage your personal loan EMI with monthly salary

The very first thing that should come to mind thinking about managing EMI with your salary is how smartly you manage your daily chores with monthly payments. If you have good thoughts on taking a loan then you should be well prepared for repaying it also, the larger the amount the greater the tenure and the greater the monthly installments. However if you pull that up you not only click the bank interest as a trustworthy customer but also achieve a great credit score, which helps you take much more in future.

Get a short-term loan

Getting a short term loan will help you to manage your monthly expenditure more efficiently than that of long term loan.This will give you the freedom to pay the EMIs in more easier way and with that it also give you less problem in managing it with your own way, whereas the long term loan can affect your income at some point and it may also be hard for you to maintain the payment timing.

Think of another tracks for paying EMIs

To think that you have to pay a large amount of money for a decided period of time you have to prepare that in advance. For example you can think of fds, or money that you have stored with you for a period of time just to be used in cases like this. If possible you can have access to other work sources too to get the demand fulfilled. You can also use the help of your friends and family too.

Problems you may face while you are paying your monthly EMIs

  • Over borrowing:-

In any circumstances do not take any more loan while you are in the period of paying back the money. Many who think they can manage taking more than one loan at a time should first see if their income is enough to pay the bills of the house  as well as to repay the bank the money that they have borrowed. It is very important to take advice from experts in this scenario. They may suggest some better measures and can give you the conclusive idea so that you can decide whether to take any more loans or not.

  • Ensure transactions complete:-

Make sure the repayment process is working right, for example if your cheque bounces on the same date when it is time for collecting EMIs then it will be considered your mistake for not paying proper attention to this.

  • Neglecting dead lines:-

Always keep your deadlines in mind if not it may be considered as your failure to pay back to the bank, which in accordance will affect your credit score.

  • Use help of officials:-

Always trust the company employee only for additional details of monthly payments, if you are consulting the outer persons then there is always a risk for you that the person may not speak the truth to you, so in these cases it is important to rely on officials and Loan EMI calculator if urgent.

  • Ensure a permanent income source:-

Before thinking about loan you should have a permanent work place which could provide you with capital, and addition to that you should always have a secondary income sources in times like this as in some drastic condition if you lose your job bank would not accept no as an answer to installments, you should always have

Regularity in EMI payment

You should never avoid the decided time for your repayment as it could affect your credit score, timely given payment ensures your principal amount is repaid faster. If not done so it will affect your chances of getting any loan in the future. You should be ready with your installments as if not then loss is yours only as it could result in your personal image, social image as well as consumer image, and the company may take necessary steps to ensure that monthly installments are paid on a regular basis.

Always think of the future

Before even taking a loan you should be crystal clear of what your monthly goals should be and what you should minimize in order to achieve that goal. You should have a clear idea of what sum of money you have to pay the bank on a monthly basis so you can avoid a low credit score.

If you do not keep these things in mind then it is very possible that you may come under the average card scorer and thus it may result that in forthcoming days you may not be eligible to take any further loans of your expectations.

What should be the right time to pay the EMIs

You should always keep in mind that what time are you paying the installments, the best time for this is just 3 to 5 days before the deadline as if anything goes wrong during these few days you can correct these mistakes as if your cheque bounced then you still have time left with you to give another a cheque but imagine if it is on the last day, then it would be inevitable for you to do any more try. Also think that if you could make the money available with you beforehand then the time you get after can be used for you in the next payment and if that goes on then in gradual time without even worrying more you would have passed the time of your EMI payments.


Beside all these above stated tips and measures there is one more and far most important. That is 40/100 rule, it is generally an idea of having a concrete knowledge of what should be done and what not to. Here 40/100 is EMI/Income, which tells us that out of your total income the payment of EMI should not exceed 40% as more than that can unknowingly create havoc in your daily life. In total 30% on house, food, etc; About 25-30% to be invested for future; A minimum of 10% for some emergencies in case you need it.

Zaraki Kenpachi