Car Loan EMI Calculator

Calculate your car loan EMI in seconds. Enter the on-road price, down payment, interest rate and tenure to see your monthly EMI, total interest and the full cost of your new or used car.

₹
₹
%
Yr
Loan amount
Total interest
Monthly EMI ₹16,607 for 60 months
Loan amount ₹8,00,000
Total interest ₹1,96,401
Total loan repayment ₹9,96,401
Total cost of car ₹11,96,401

Total cost of car = down payment + total loan repayment.

What is a Car Loan EMI Calculator?

A car loan EMI calculator is a free online tool that shows the Equated Monthly Instalment you will pay on a car loan before you apply. Enter the car's on-road price, your down payment, the interest rate and the loan tenure, and it instantly tells you your monthly EMI, the total interest and what the car will really cost you once the loan is repaid.

It works for new car loans and used car loans from any bank or NBFC - just use the rate and tenure your lender quotes. Try different down payments and tenures to find an EMI that fits your monthly budget.

Car Loan Repayment Schedule

Year by Year
Year Principal Paid Interest Paid Outstanding Balance

How is Car Loan EMI Calculated?

Your loan amount is the car's on-road price minus your down payment. The EMI on that amount is worked out with the standard reducing-balance formula used by every bank:

EMI = P × r × (1 + r)^n / [ (1 + r)^n - 1 ]
P (Loan Amount) On-road price minus down payment.
r (Monthly Rate) Annual interest rate / 12 / 100.
n (Number of EMIs) Loan tenure in years × 12.

Car Loan EMI Example:

You buy a car with an on-road price of ₹10,00,000, pay ₹2,00,000 down and borrow ₹8,00,000 at 9% p.a. for 5 years:

  • Monthly EMI: ₹16,607
  • Total Interest: ₹1,96,401
  • Total Cost of Car: ₹11,96,401

Car Loan EMI per ₹1 Lakh

A quick way to estimate your EMI: find your interest rate and tenure below, then multiply by your loan amount in lakhs. For a ₹6 lakh loan, multiply the figure by 6.

Interest Rate 3 Years4 Years5 Years6 Years7 Years
8.5% ₹3,157₹2,465₹2,052₹1,778₹1,584
9% ₹3,180₹2,489₹2,076₹1,803₹1,609
9.5% ₹3,203₹2,512₹2,100₹1,827₹1,634
10% ₹3,227₹2,536₹2,125₹1,853₹1,660
11% ₹3,274₹2,585₹2,174₹1,903₹1,712
12% ₹3,321₹2,633₹2,224₹1,955₹1,765

How Loan Tenure Changes Your Car EMI

For a ₹8,00,000 car loan at 9%: a longer tenure makes each EMI smaller, but you pay far more interest in total.

Tenure Monthly EMI Total Interest
3 Years ₹25,440 ₹1,15,832
4 Years ₹19,908 ₹1,55,586
5 Years ₹16,607 ₹1,96,401
6 Years ₹14,420 ₹2,38,271
7 Years ₹12,871 ₹2,81,186

New Car Loan vs Used Car Loan

Feature New Car Loan Used Car Loan
Interest rate Lower Higher - typically 2-5% more
Maximum tenure Up to 7 years Usually up to 5 years
Loan amount Up to 90-100% of on-road price Up to 70-85% of the car's value
Car age limit Not applicable Car age + tenure often capped at 8-10 years
Processing Quick, often at the dealership Needs valuation and ownership checks

Typical market terms; exact rates, tenures and limits vary by lender and your profile.

Car Loan Eligibility

Age Usually 21 to 60 for salaried and up to 65 for self-employed borrowers at loan maturity.
Income A steady monthly income; lenders set a minimum and cap your total EMIs at a share of it.
Credit score A CIBIL score of 750 or more gets faster approval and a lower interest rate.
Work stability Typically at least 1-2 years of employment or 2-3 years in business.

Documents Required for a Car Loan

  • Identity proof - PAN card, Aadhaar, passport or voter ID
  • Address proof - Aadhaar, utility bill, passport or rent agreement
  • Income proof - latest salary slips and Form 16, or ITRs for the self-employed
  • Bank statements for the last 6 months
  • Proforma invoice or quotation from the car dealer
  • Passport-size photographs and a filled application form

6 Ways to Reduce Your Car Loan EMI

1

Make a bigger down payment

Every rupee you pay upfront is a rupee you do not pay interest on - it cuts both the EMI and total cost.

2

Improve your credit score

A score above 750 can get you a noticeably lower rate. Clear dues and keep card usage low before applying.

3

Compare lenders

Rates, processing fees and prepayment charges vary widely - compare the total cost, not just the EMI.

4

Pick the shortest tenure you can afford

A longer tenure lowers the EMI but raises the total interest - see the tenure table above.

5

Prepay when you can

Part-prepayments reduce the outstanding principal; check your lender's prepayment charges first.

6

Negotiate the on-road price

Discounts, exchange bonuses and skipping unneeded add-ons shrink the amount you need to borrow.

Comparing a home, personal or car loan side by side? Try the general EMI calculator.

Frequently asked questions

Everything you need to know — from what we do to how we do it — in one quick FAQ section.

OPEN ACCOUNT

Car loan EMI is calculated with the formula EMI = P × r × (1 + r)^n / ((1 + r)^n − 1), where P is the loan amount (on-road price minus down payment), r is the monthly interest rate and n is the tenure in months. The GoPocket car loan EMI calculator applies it instantly as you move the sliders.