Car loan EMI calculator India with down payment, tenure options and total interest calculation.
📖 Read our detailed guide: Car Loan EMI Calculator India — everything you need to know
Read Guide →Car loan EMI uses the standard amortization formula. For example, an 8 lakh loan at 8.5% for 5 years has an EMI of approximately 16,400 rupees, with total interest of about 1.84 lakh over the tenure. Use this calculator for instant results with any amount and rate.
Car loan rates in India range from 7.5% to 14%. Rates of 7.5 to 9% are excellent and available for new cars with CIBIL 750+. Used car loans attract 10 to 15%. SBI, HDFC, and ICICI typically offer the most competitive rates for salaried professionals.
Banks finance 80 to 90% of the on-road price, requiring 10 to 20% down payment. A larger down payment (20 to 30%) reduces your EMI, total interest, and loan-to-value ratio. This also improves your chances of loan approval at better rates.
Shorter tenures (3 years) have higher EMIs but much lower total interest. Longer tenures (7 years) have lower EMIs but you pay significantly more in total interest. Choose the shortest tenure you can comfortably afford to minimize interest outflow.
For salaried individuals, car loan interest is not tax deductible. If the car is used for business and registered in the business name, interest and depreciation can be claimed as business expenses. Self-employed professionals can claim a portion for professional use.