Car loan EMI calculator
On a Rs 10,00,000 car with Rs 2,00,000 down, a 5 year loan at 9% costs Rs 16,607 a month and Rs 1,96,401 in interest. Enter your price, down payment and rate.
Results update as you type. Nothing you enter is stored.
| Year | Principal paid | Interest paid | Balance |
|---|---|---|---|
| 1 | Rs 1,32,664 | Rs 66,616 | Rs 6,67,336 |
| 2 | Rs 1,45,109 | Rs 54,171 | Rs 5,22,227 |
| 3 | Rs 1,58,721 | Rs 40,559 | Rs 3,63,506 |
| 4 | Rs 1,73,610 | Rs 25,670 | Rs 1,89,896 |
| 5 | Rs 1,89,896 | Rs 9,384 | Rs 0.00 |
| Tenure | EMI | Total interest |
|---|---|---|
| 1 yr | Rs 69,961 | Rs 39,534 |
| 2 yr | Rs 36,548 | Rs 77,147 |
| 3 yr | Rs 25,440 | Rs 1,15,832 |
| 4 yr | Rs 19,908 | Rs 1,55,586 |
| 5 yr | Rs 16,607 | Rs 1,96,401 |
| 7 yr | Rs 12,871 | Rs 2,81,186 |
| 10 yr | Rs 10,134 | Rs 4,16,087 |
How it works
Lenders finance part of the car's price; the rest is your down payment. A bigger down payment lowers the EMI and the interest. Check whether your lender finances the on-road price or only the ex-showroom price.
Formula
Loan = price - down payment; EMI = P r (1 + r)^n / ((1 + r)^n - 1)
Frequently asked questions
How is EMI calculated?
With the reducing balance formula EMI = P r (1+r)^n / ((1+r)^n - 1), where r is the monthly rate and n the number of months.
Why is most of the early EMI interest?
Interest is charged on the outstanding balance, which is highest at the start, so early EMIs repay little principal.
How much down payment is needed for a car loan?
It depends on the lender's loan to value policy for the model and your profile; enter the amount you plan to pay.
Related
This tool is for information only and is not investment, tax or legal advice. Results depend on the inputs and assumptions you enter; check important figures with the official source or a qualified professional.