Your Monthly EMI
Driving home your dream car is an exciting milestone, but financial planning is key to keeping the ride smooth. Most car buyers opt for auto loans to finance their purchase. A Car Loan EMI Calculator is an essential tool that helps you estimate your monthly outflow before you even step into a showroom. Whether you are buying a hatchback, sedan, or SUV, this tool lets you experiment with different loan amounts and tenures (typically up to 7 or 8 years) to find an EMI that fits comfortably within your monthly budget.
Know exactly how much car you can afford without straining your finances.
Uses the standard reducing balance method used by banks for auto loans.
See how a small difference in interest rates affects your total payment.
Adjust tenure up to 8 years to see how it lowers your monthly EMI burden.
Mobile-friendly design allows you to calculate EMIs right at the dealership.
Most banks provide loans for up to 80% to 90% of the car's On-Road Price. However, some specific schemes for government employees or corporate salary account holders may offer 100% funding on the Ex-Showroom Price.
Yes, most lenders allow prepayment or foreclosure after a lock-in period (usually 6 months to 1 year). However, unlike floating-rate home loans, car loans are fixed-rate loans and may attract a foreclosure penalty of 3% to 5% on the outstanding principal.
Usually, no. The car itself acts as the collateral (security) for the loan. This is why the car is hypothecated to the bank until you repay the full amount. A guarantor might be needed only if your credit score is low or income criteria are not met.
It depends on whether the bank funds the 'Ex-Showroom' price or 'On-Road' price. On-Road funding typically covers registration, insurance, and road tax. Accessories are usually not covered unless part of a special manufacturer tie-up.
