What is your loan really costing you?
Lenders say "only ₹1,000 extra" or "just ₹2 per hundred". Write down what they told you and see the real yearly rate — the same number a bank has to show you.
Compare with other ways to borrow
Other rates are typical ranges (estimates, 2026), not quotes. Always ask any lender for the APR on their Key Fact Statement.
Where your extra money goes
In days of work
What do you earn in one day?
0
Break the cycle
0
Tip: a bank or post office recurring deposit (RD) takes a small fixed amount every month and cannot be touched by any lender.
"Rupees per hundred" translator
Moneylenders often say "₹2 per ₹100 per month". Slide to what you were told.
Staying safe from illegal lenders
- A legal lender (bank, RBI-registered NBFC, or an app lending through one) must give you a Key Fact Statement with the APR before you sign.
- Warning signs: asks for access to your contacts or photos, no written terms, money cut before you receive it, threats or calls to family.
- Report unauthorised lenders on the RBI Sachet portal (sachet.rbi.org.in). Loan app harassment: call the cyber crime helpline 1930 or use cybercrime.gov.in.
- Cheaper options to ask about: gold loan at a bank, self-help group (SHG) loans, Mudra loans for small business, or your employer.
More tools for your daily money
FAQ
What is the real interest rate on ₹100 a day for 100 days on a ₹10,000 loan?
If ₹1,000 is cut at the start so you receive ₹9,000, and you repay ₹100 a day for 100 days, the APR is about 78% a year. The "extra ₹1,000" is repaid within about three months, which is why it is so expensive.
What does "₹2 per 100 per month" mean in yearly interest?
2% a month is 24% a year on a simple basis, or about 26.8% if unpaid interest is added to the loan. ₹3 per 100 is 36% a year; ₹5 per 100 is 60% a year.
Why are instant loan apps so costly?
Fees are cut first and full repayment is due in 7 to 30 days. ₹4,000 in hand and ₹5,000 back after one week is a 25% charge for one week — about 1,300% a year.
How is the APR worked out here?
We find the interest rate per payment period that makes all your payments equal to the money you actually received, then multiply by the number of periods in a year. This is the standard APR method. The "if you keep borrowing" figure compounds that rate over a full year.
Estimation only. Not financial advice. Nothing you type leaves your device. Comparison rates are approximate typical ranges, not live quotes.