Car Loan EMI Calculator
Calculate your monthly car loan EMI, total interest and total payable instantly.
Loan EMI Calculator
EMI Details
Monthly EMI:
Total Interest Payable:
Total Amount Payable:
Planning a car loan? Our free car loan emi calculator shows your monthly instalment, total interest and total repayment in seconds, so you can choose an amount and tenure that fit your budget before you apply. It works for loans from any bank or NBFC in India, and you can also use the main EMI calculator on EMITotal for any other loan.
How to Use the Car Loan EMI Calculator
- Loan amount: Enter the on-road price minus your down payment as the loan amount; lenders may finance up to around 80% to 100% of the ex-showroom or on-road price for new cars. Car loan tenures are usually 1 to 7 years.
- Interest rate: Enter the annual rate quoted by your lender. If you do not have a quote yet, try a few values within the typical range below.
- Tenure: Enter the repayment period. Try different tenures to see how the EMI and total interest change.
- Read the results: The calculator shows your monthly EMI, total interest payable and total amount payable over the loan period.
The calculation uses the standard reducing-balance formula EMI = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the principal, r is the monthly interest rate and n is the number of monthly instalments. To see how it works step by step and how to reproduce it in a spreadsheet, read our guide on the EMI formula explained with Excel.
Typical Car Loan Interest Rates in India
Car loans are secured by the vehicle, so rates are typically lower than personal loans. New-car loans have generally been offered at around 8.5% to 11% per annum to good-credit borrowers, while used-car loans commonly carry higher rates, often around 11% to 16% or more. Many car loans are fixed-rate. Actual rates may vary by lender, car model, dealer tie-ups, your profile and the time you apply.
Even a small difference in rate matters. On a large or long loan, a gap of 0.5 percentage points can change the total interest by a noticeable amount, so it is worth comparing offers using the calculator.
Example Car Loan EMI Table
The table below shows illustrative EMIs calculated with the standard formula. Figures are rounded to the nearest rupee and exclude processing fees, insurance and taxes. Rates used are examples only, not offers.
| Loan Amount | Interest Rate (p.a.) | Tenure | Monthly EMI | Total Interest | Total Payment |
|---|---|---|---|---|---|
| ₹5,00,000 | 9.0% | 5 years | ₹10,379 | ₹1,22,751 | ₹6,22,751 |
| ₹8,00,000 | 9.0% | 5 years | ₹16,607 | ₹1,96,401 | ₹9,96,401 |
| ₹8,00,000 | 9.5% | 7 years | ₹13,075 | ₹2,98,316 | ₹10,98,316 |
| ₹12,00,000 | 9.0% | 5 years | ₹24,910 | ₹2,94,602 | ₹14,94,602 |
Notice how a longer tenure reduces the EMI but raises the total interest you pay. Use the calculator above to test your own numbers.
Car Loan Eligibility and Documents
Basic Eligibility
- Age usually around 21 to 65 years (varies by lender)
- Minimum net income threshold set by the lender, for salaried or self-employed applicants
- Reasonable credit score, typically 700 or above for competitive rates
- Job or business stability, often at least 1 to 2 years
Common Documents Required
- KYC: PAN card, Aadhaar, address proof
- Income proof: salary slips or ITRs
- Bank statements for the last 3 to 6 months
- Proforma invoice or quotation from the dealer
Exact criteria and paperwork may vary by lender, so check the lender’s current list before applying.
Tips to Reduce Your Car Loan EMI
- Pay a bigger down payment, ideally 20% or more, to cut principal and interest.
- Choose the shortest tenure you can comfortably afford; longer tenures add significant interest.
- Compare dealer financing with offers from banks and NBFCs directly.
- Ask about prepayment and foreclosure charges before signing, as fixed-rate car loans may carry them.
- Watch for festive-season offers on rates or processing fees.
Frequently Asked Questions
Is a 7-year car loan a good idea?
It lowers the EMI, but you pay more interest and the car depreciates faster than the loan reduces. A tenure of 3 to 5 years is often a better balance.
Can I get a 100% car loan?
Some lenders may offer up to 100% of the ex-showroom or on-road price for select profiles and models, but this raises your EMI and total interest.
Are used-car loan rates higher?
Generally yes, because older vehicles carry more risk for the lender. Use the calculator with a higher rate to see the impact.
Does the EMI include insurance and registration?
Only if you include those costs in the loan amount. The calculator computes EMI on whatever principal you enter.
Other Loan EMI Calculators
Disclaimer: Results and rates on this page are indicative and for information only. Final terms depend on your lender.