How can I make extra payments toward my loan?

Making extra payments can significantly speed up debt repayment on a personal loan. Here are some effective strategies, subject to the lender’s terms and conditions:

• Routinely deposit any monetary gifts, bonuses, tax refunds or other lump sum amount directly towards your loan principal as extra payment. This cuts down interest costs.
• Inform your loan provider to adjust any amounts directly against the outstanding principal. Otherwise, the extra amount may be credited as an advance payment.
• Whenever your income increases, increase your EMI amount incrementally. Even small additions of ₹500-₹10000 go a long way.
• Before your next EMI due date, pay any surplus money into the loan account as an advance payment that will be adjusted in the future.