Car Loan Calculator — EMI, Budget, Tenure & Rate
Enter your on-road quote and down payment to estimate car EMI, a financed purchase budget, repayment months or the rate behind a quoted EMI. Review fee-adjusted Loan APR and the full repayment schedule.
Plan from your actual car quotation. These are fixed-rate monthly reducing-balance estimates. Confirm the financed amount, repayment dates and all charges in the lender’s Key Facts Statement before accepting car finance.
Build Your Car Finance Plan
Choose the missing number in your car quotation. The fields change with each mode.
Before you accept a car quote
Compare the purchase budget, repayments and fee-adjusted financing cost in one workspace.
Car instalment
Check the payment after your deposit reduces the amount financed.
Car purchase budget
Combine a payment-based loan estimate with your cash down payment.
Time to repay
Find the months needed for your car loan and chosen instalment.
Rate implied by the quote
Check the reducing-balance rate behind a stated car EMI.
Amortization schedule
Track principal and interest over time principal vs interest tables.
Repayment record
Export your car finance estimate and instalment tables.
Your car finance estimate
Financed principal
₹ 0
Cash down payment
₹ 0
Price covered by principal + deposit
₹ 0
Deposit + repayments + upfront charges
₹ 0
Total interest payable
₹ 0
Total payment (incl. fee)
₹ 0
Estimated Loan APR (%)
0%
Loan APR is estimated from monthly cash flows: monthly IRR × 12, including only the upfront loan charges entered. It is not the compounded effective annual rate or your lender’s complete KFS APR. Payments are assumed to start one month after disbursement. Charges equal to or above principal produce no meaningful APR.
Select when your EMI payments will start
Four questions to answer before choosing car finance
Use the same car quotation across modes, so each result supports the next purchase decision.
Check the instalment before booking
Check the monthly payment for the financed amount, rate and term. The model uses reducing-balance interest; at 0%, divide the principal by the months.
How this calculation works
Enter the financed car amount, reducing-balance annual rate and number of monthly instalments. EMI = P × r ÷ [1 − (1 + r)−n], where r = annual rate ÷ 1200. At zero interest, EMI = P ÷ n.
Find a car budget from your EMI limit
Start with a comfortable car EMI, then add your down payment to the financed amount. This gives a purchase-budget estimate, not lender approval.
How this calculation works
Work backwards from a comfortable monthly payment: principal = EMI × [1 − (1 + r)−n] ÷ r. Add your deposit to get an indicative purchase budget. This does not check your income or lender eligibility.
Choose a realistic repayment period
See how many months your chosen EMI needs to clear the car loan. The EMI must exceed monthly interest, and the last instalment can be smaller.
How this calculation works
Enter the car loan principal, target EMI and annual rate. Months = −ln(1 − P × r ÷ EMI) ÷ ln(1 + r), rounded up, with a balancing final payment. An EMI below the monthly interest cannot repay the principal.
Check the rate behind a dealer EMI
Check the reducing-balance rate implied by the car principal, quoted EMI and term. Loan APR separately accounts for the upfront credit charges entered.
How this calculation works
Enter the principal, quoted EMI and instalment count. The tool solves the monthly reducing-balance rate numerically and annualises it. Fees appear separately in Loan APR; this rate check does not model a balloon or advance instalment.
The car price is only the start of your budget
Separate the vehicle invoice, the cost of credit and the cost of running the car.
Vehicle purchase
Ask for an itemised quote separating ex-showroom price, registration, vehicle insurance, accessories and optional packages. Check which items the lender will finance before calculating your deposit.
Borrowing cost
Record the interest rate, total upfront loan charges and repayment dates. Enter upfront charges once. If a fee is financed, include it in principal instead of counting it again as an upfront deduction.
Ownership cost
Reserve a separate monthly amount for fuel or charging, parking, servicing, tyres and future insurance renewals. The calculator’s loan totals exclude these running costs and the car’s future resale value.
How to buy a car using a bank or finance provider
A practical sequence from the first quotation to loan closure. Approval and disbursement timing depend on the provider.
View the 7-step car purchase process
- 01
Choose the vehicle and obtain a written quote
Select the model and variant, test-drive it and get an itemised on-road quotation. For a used car, confirm valuation, ownership and service history before committing to the purchase.
- 02
Set your deposit and monthly limit
Decide how much cash you can put down while retaining an emergency reserve. Estimate EMI and total interest, then add the expected running costs to your monthly budget.
- 03
Request bank, NBFC and dealer-arranged offers
Apply through verified channels. A dealer may introduce a finance provider; check the actual lender’s name. Compare offers using the same financed amount and tenure.
- 04
Submit the application and supporting documents
Provide the completed form, KYC, income evidence, bank statements and vehicle quotation as requested. Co-applicants may need their own document set. Requirements depend on the lender and applicant.
- 05
Review credit assessment and sanction terms
The provider assesses income, existing obligations, credit history and the vehicle. Read the sanction letter and Key Facts Statement, including APR, all charges, EMI dates and any early-repayment conditions.
- 06
Sign, arrange payment and complete delivery
After accepting the terms, complete the agreement and repayment mandate, pay the agreed margin and confirm disbursement instructions. Verify the final invoice, insurance, registration and lender hypothecation details at delivery.
- 07
Repay and close the vehicle loan
Keep the repayment account funded and retain statements. After full repayment, request the lender’s closure/NOC documents and complete the transport authority process for removing hypothecation.
Car loan documents to prepare
Use this as a starting checklist. Ask the selected lender for the definitive list and submit sensitive documents only to its verified channel.
View the car loan document checklist
Application & KYC
Completed application, recent photographs, PAN and lender-accepted identity/address evidence. Existing customers may have a shorter KYC checklist.
When: All applicants and any co-applicant
Employment income
Recent salary slips and Form 16 or income-tax returns, where requested. Confirm how many months or years your provider needs.
When: Salaried applicants
Business income
ITRs, financial statements such as balance sheet and profit-and-loss account, plus business or professional registration evidence as requested.
When: Self-employed / business applicants
Banking history
Recent bank statements for the lender’s requested period. Existing salary-account customers may receive document waivers.
When: As required for your profile
Vehicle papers
Dealer quotation or pro-forma invoice before sanction; final invoice and registration/insurance papers at the relevant stage. Used-car loans may need valuation and ownership-transfer documents.
When: Vehicle and purchase evidence
Special situations
Co-applicant documents, NRI passport/visa evidence, or agricultural income/land evidence may be requested for the applicable scheme.
When: Only where applicable
Reference: SBI’s vehicle-loan document guidance. Requirements and waivers vary by institution; this is not an SBI application form.
Bank, NBFC or dealer-arranged finance?
Compare the written terms of each offer. The channel alone does not establish which loan is cheaper.
| Question | Bank offer | NBFC offer | Dealer-arranged offer |
|---|---|---|---|
| Who provides credit? | Bank named in the sanction letter | Finance company named in the agreement | Check the actual bank or NBFC behind the offer |
| What price is financed? | Confirm eligible vehicle costs and required margin | Confirm valuation, eligible costs and margin | Separate car discount from the financing terms |
| How to compare cost | Ask for KFS, APR, charges and EMI schedule | Ask for KFS, APR, charges and EMI schedule | Request the underlying lender’s terms in writing |
| What needs extra attention? | Rate basis, repayment dates and exit conditions | Fees, repayment structure and exit conditions | Add-ons, advance EMI, balloon payment and conditions on any discount |
Read Loan APR alongside the car loan rate
The advertised rate describes interest. APR helps you compare the cost of credit after charges.
How this APR estimate works
The model treats the entered upfront charges as a reduction in net proceeds: net proceeds = financed principal − upfront charges. It solves the monthly internal rate of return against the instalments and balancing final payment, then multiplies that rate by 12 to show an annual percentage.
What the estimate leaves out
Payments are assumed monthly, starting one month after disbursement. Fees paid later, daily accrual, irregular dates, rate changes and balloon repayments are excluded. A fee at or above the principal leaves no positive net proceeds, so APR is shown as unavailable.
RBI defines APR as the annual credit cost including interest and other associated charges. Request your lender’s KFS for the complete cost and repayment schedule. Read the RBI KFS circular.
A car quotation turned into a repayment estimate
Illustration only: these figures are not a current bank offer.
₹10 lakh car, ₹2 lakh deposit
On-road price ₹10,00,000 minus deposit ₹2,00,000 gives financed principal ₹8,00,000. At an illustrative 9.5% annual rate for 60 months, the EMI is approximately ₹16,801.49. Total interest is approximately ₹208,089.34; the model uses unrounded instalments internally.
Compare the full cash commitment
With ₹5,000 upfront loan charges, deposit plus loan repayments plus those charges comes to approximately ₹1,213,089.34. APR increases above the quoted 9.5% rate. Vehicle running costs and costs outside the entered quote are separate.
Before signing the car finance agreement
Carry these questions into your discussion with the lender or dealer.
Confirm the payment structure
Are instalments equal throughout? Is interest fixed or floating? Does the offer include advance EMIs, a residual value or a balloon amount? If the structure is different, this calculator will not reproduce it exactly.
Confirm what is optional and what is payable
Ask for separate prices for accessories, extended warranty and add-on cover. Read late-payment, part-payment, foreclosure and cancellation conditions in the actual agreement. Keep the signed quote, KFS and receipts together.
Car finance references and related calculators
Check source documents before relying on a quotation.
Questions about financing your car
Answers for the quotation, application and ownership stages.
Car purchase planning
Should I enter ex-showroom price or on-road price?
Start with the dealer’s itemised on-road quotation, then subtract your down payment and any confirmed trade-in credit. Borrow only the amount the lender agrees to finance; insurance, registration or accessories may have to be paid separately.
How do I use the four car finance modes?
Choose Car EMI to estimate instalments, Car Budget to solve the financed amount from your monthly budget, Repayment Period to find months needed, or Quoted Rate to infer a reducing-balance rate. The budget result is a mathematical estimate, not a lender’s eligibility decision.
Does the calculated car budget include my down payment?
Yes. In Car Budget mode, the indicative purchase budget is the calculated loan principal plus the cash down payment you enter. It excludes upfront loan charges and any costs outside the vehicle price. Your lender may approve a smaller amount.
Why is Loan APR higher than the quoted interest rate?
Upfront credit charges reduce the net amount available while repayments are still based on the full principal. The estimated APR uses monthly cash-flow IRR multiplied by 12. It includes only the upfront charges entered here; compare the lender’s Key Facts Statement for the complete APR.
Can I calculate finance for a used car or an electric car?
Yes, if the offer uses a fixed rate, monthly reducing-balance instalments and no balloon payment. Used-car valuation, vehicle age and EV-specific scheme conditions can affect the approved loan amount and tenure; enter your actual quoted terms.
Offers, documents and repayments
Can dealer finance and a bank loan have different costs?
Yes. Compare the lender named in each offer, amount financed, down payment, APR, fees, repayment schedule and early-exit terms. A dealer may arrange a bank or NBFC loan; the dealer is not necessarily the creditor.
What does hypothecation mean when buying a financed car?
The financed vehicle secures the loan and the lender’s interest is recorded against it. After repayment, obtain the lender’s closure documents and follow the transport authority’s process to remove the hypothecation entry.
Can a longer car loan make the purchase cheaper?
A longer tenure can reduce the monthly EMI while increasing total interest. Compare the total repayment and leave room for fuel or charging, insurance renewals, maintenance and repairs rather than choosing solely by the EMI.
Will this tool reproduce the exact EMI on my sanction letter?
It estimates equal monthly repayments at a fixed reducing-balance rate. Daily interest accrual, payment dates, rounding, financed fees, floating-rate changes, advance EMIs and balloon payments can change a lender’s schedule. Use the sanction letter and agreement for final amounts.
Do I need to upload income or identity documents here?
No. This calculator needs only numerical planning inputs. Submit KYC and income documents through your chosen lender’s verified channel, not through this page. TXT and CSV downloads are created in your browser; WhatsApp sharing opens a separate service when selected.
Take a clearer budget to the showroom
Check your deposit, car EMI and Loan APR before deciding which written finance offer fits your purchase.