Car Loan Calculator
Calculate your car loan EMI, total cost, and interest outgo.
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Car Loan Calculator
Use the formula and worked example below to calculate manually.
Overview
A car loan calculator helps you compute the monthly EMI, total interest, and overall cost of financing a vehicle, enabling smarter decisions before stepping into a dealership.
How to use this calculator
- Enter the car price and down payment to calculate the loan amount needed.
- Enter the annual interest rate offered by the bank or dealer.
- Set the loan tenure (typically 1–7 years for car loans).
- The calculator shows the EMI, total interest, and total amount payable.
Understanding the inputs & results
Car price
The on-road price of the vehicle including registration, insurance, and taxes.
Down payment
The amount you pay upfront from your own funds. The remaining is the loan amount.
Loan amount
Car price minus down payment — the amount you borrow.
Interest rate
The annual rate charged by the lender on the car loan.
EMI
The fixed monthly payment you make until the loan is fully repaid.
The formula
Car loan EMI
EMI = P × r × (1 + r)^n / ((1 + r)^n − 1)
P = loan amount, r = monthly rate (annual / 12 / 100), n = tenure in months.
Worked example
Car price ₹12 lakh, down payment ₹2 lakh, interest 9% p.a., 5 years.
- Loan = ₹10 lakh; r = 0.0075; n = 60.
- EMI ≈ ₹20,758.
- Total paid = ₹12,45,480. Interest = ₹2,45,480.
✓ Monthly EMI ≈ ₹20,758. Total cost of ownership (loan only) ≈ ₹12.45 lakh.
Frequently asked questions
Actual EMI may differ based on lender processing fees and interest calculation method. Confirm with your lender.