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Car Loan EMI Calculator

Find the monthly EMI on a new or used car loan, and see how much interest the loan adds to the price of the car.

Monthly EMI

₹16,801

Total interest

₹2,08,089

Total payment

₹10,08,089

Principal · 79.4%Interest · 20.6%

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Frequently Asked Questions

What interest rate do car loans carry in India?

New car loans typically run 8.5 to 11% a year from banks, and higher from dealer-arranged finance. Used car loans are dearer, usually 12 to 16%, because the collateral depreciates faster.

What tenure should I choose for a car loan?

Three to five years suits most buyers. Stretching to seven years cuts the EMI but you risk owing more than the car is worth for much of the term, since cars lose roughly 15 to 20% of their value each year.

How much down payment should I make?

At least 20%. Lenders finance up to 85 to 90% of the on-road price, but a larger down payment reduces interest and protects you from negative equity if you sell early.

Is a car loan cheaper than a personal loan?

Yes, usually by 3 to 6 percentage points, because the car itself is collateral. The trade-off is that the lender holds a hypothecation charge until the loan is cleared.