An illustration of how Loan fees and charges may be levied
* Loan amount : ₹50,000
* Processing Fee (2 % of Loan amount X 18% GST) : ₹1,180
* Total Loan Amount : ₹51,180
* Interest : 24% p.a. (on fixed principal balance interest calculation)
* Tenure : 12 months
* Your emi : ₹4,840
* Total amount to be paid : ₹4,840 X 12 = ₹58,075
* Total interest paid : ₹58,075 - ₹51,180 = ₹6,895
* Total cost of loan : ₹6,895 + ₹1,180 = ₹8,075
* APR (Annual Percentage Rate) : 28.58%