Equated Monthly Instalment or EMI is a fixed part of the total money that the person who borrowed money pays back each month to settle the loan amount. So instead of paying the entire amount in one go, you pay it in instalments

Example:
A lot of companies and stores such as Amazon, Vijay Sales and Croma allow their customers to buy a product- for example a laptop on EMI. The bank officer at the store allows you to borrow money from the bank and divides the total cost of the laptop in smaller instalments of 6 or 8 months.
So if the laptop costs 65,000 and you can only give 5000 at the time of purchase, the bank will pay for it and you will be required to pay the remaining 60,000 over 8 months in EMIs of 7,500 per month.