At an illustrative 17% per annum, a Rs. 2.5 lakh loan through a loan app for self-employed applicants costs Rs. 8,913 a month over 36 months (3 years). A shorter tenure raises the EMI but cuts the total interest.
Worked example: Farah in Surat
Farah is 35 and runs a boutique in Surat as a self-employed professional. Her income averages Rs. 90,000 a month, and she has a CIBIL score of 740. She is new to Bajaj Finance, generates an offer in the loan app for self-employed applicants and borrows Rs. 2.5 lakh to renovate her home. Her offer comes at an illustrative 17% per annum.
EMI = P × R × (1 + R)^N ÷ [(1 + R)^N − 1]. P is the loan amount in rupees, R is the annual rate divided by 12 and by 100, and N is the tenure in months. The formula spreads the principal and interest into equal monthly payments, so early EMIs carry more interest and later ones more principal. All figures are rounded to the nearest rupee.
| Tenure | Monthly EMI (Rs.) | Total interest (Rs.) | EMI as share of average income (%) |
|---|
| 24 months (2 years) | 12,361 | 46,654 | 13.7 |
| 36 months (3 years) | 8,913 | 70,875 | 9.9 |
Last updated: 15th October, 2026
The 36-month option in the loan app for self-employed applicants lowers the EMI by Rs. 3,448 but adds Rs. 24,221 in interest. The processing fee on Rs. 2.5 lakh is up to Rs. 10,325. Farah picks 36 months (3 years), because her income dips to Rs. 60,000 in slow months, and Rs. 8,913 still fits.
What can delay approval: new customers may need a CIBIL check and documents, such as Know Your Customer (KYC) documents and bank statements. Income details that do not match your bank records can also slow verification.
