1 / 7Many have no choice but to take out a home loan to buy a home; But home loan installments are also large and long-term. It consists of a combination of principal and interest. Generally, the amount of interest paid is equal to the principal amount. However, it is definitely possible to save. This is a way of saving.2 / 7Pre-payment option is available only while taking home loan. It is important to know what is the right pre-payment period. According to investment advisors, banks charge interest initially. So pre-pay right from the start to lighten the EMI burden.3 / 7Voluntarily paying more than the regular monthly installments is called pre-payment. This additional amount is directly credited to the principal. Therefore, the principal decreases and the amount of interest decreases. Therefore, your loan installments are over quickly. This saves the borrower.4 / 7Suppose you have taken a loan of Rs 20 lakh for 20 years i.e. 240 months at an interest rate of 7.50%. So the situation will remain like this.5 / 7If you pay the installments for the entire term, you will get a monthly installment of Rs.16,112. You have to pay a total of Rs.38,66,847. Interest on it will be Rs. 18,66,847.6 / 7Let's say if you make a pre-payment of Rs 1 thousand per month along with a monthly installment of Rs 16,112, you will save Rs 2.70 lakh. 29 monthly installments will be reduced from 240 monthly installments.7 / 7Home loan interest costs a lot of money. Interest is highest in the first 5 years. Regular repayment of the loan reduces as follows. First 5 years 7.7%, next 5 years 19.2%, third 5 years 36.4%, fourth 5 years 69%, last 5 years full loan