I liked the article - it clearly clears up the myth for the suspecting loan seekers I ran the NPV on both scenarios & for Pre-EMI I got NPV of 21,98,582 whereas for ADF I got NPV of 24,28,028 - by taking a constant 10% discounting over the full horizon. This works clearly well for Fixed rate loans. However the difference being less in both NPV\'s if the case were a Floating rate & say the rates were higher in 1st 10 yrs & then lowers in last 10 yrs (mainly last 2 yrs), I suspect the difference would be too small or even less attractive !! Worth simulating
