🚗 Car Loan EMI Calculator
Calculate your monthly car loan EMI instantly. Simulate prepayments, check affordability and compare bank offers — free, private, no signup.
Loan details carried from the EMI Calculator tab. Enter your one-time prepayment below.
| Metric | Without Prepayment | With Prepayment |
|---|---|---|
| Adjust the sliders above to see prepayment savings. | ||
| Metric | Loan A | Loan B | Difference | Better |
|---|---|---|---|---|
| Enter both loan details above to compare. | ||||
How to Use This Car Loan EMI Calculator
A car loan EMI calculator helps you plan your vehicle purchase without guesswork. Enter the net loan amount (on-road price minus your down payment), the lender's interest rate and your preferred tenure — this car loan EMI calculator instantly shows your monthly EMI, total interest outgo and a full amortisation schedule. Four built-in tabs handle every planning scenario: EMI calculation, prepayment simulation, affordability check and side-by-side bank comparison.
Set the loan amount using the slider or by typing directly. Pick an interest rate from the bank presets or enter your own. Choose the tenure — most car loans run 1–7 years. The results panel on the right updates live with every change. Switch tabs to simulate a prepayment, find out the maximum loan your salary supports, or compare two bank offers in seconds.
Car Loan EMI Calculator Formula
Every car loan EMI calculator uses the standard banking formula: EMI = P × r × (1 + r)ⁿ ÷ [(1 + r)ⁿ – 1], where P is the principal loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the total number of monthly instalments. On a ₹8 lakh loan at 9% per annum over 5 years, n = 60 months and the monthly EMI works out to approximately ₹16,607 — with total interest of around ₹1.96 lakh.
Car Loan Interest Rates in 2026
Car loan rates in India vary by lender, applicant profile and scheme. The bank presets in this car loan EMI calculator reflect current published starting rates for salaried borrowers with a strong credit profile:
| Bank | Starting Rate (p.a.) | Processing Fee |
|---|---|---|
| SBI | 8.75% | Up to 0.5% |
| HDFC Bank | 9.00% | Up to 0.5% |
| ICICI Bank | 9.25% | Up to 1% |
| Axis Bank | 9.50% | Up to 1% |
| Kotak Mahindra | 8.90% | Up to 1% |
Even a 0.5% rate difference on a ₹10 lakh loan over 5 years adds more than ₹1,400 in total interest. Use the Compare tab to evaluate any two offers side by side before finalising a lender.
Factors Affecting Your Car Loan EMI
Four variables directly influence the result of any car loan EMI calculator:
- Loan amount — the net principal after your down payment. A 20% down payment on a ₹10 lakh car reduces the loan to ₹8 lakh and saves approximately ₹3,900 in total interest over a 5-year term.
- Interest rate — a CIBIL score above 750 often unlocks rates 0.5–1% lower than the standard offer. Use the presets to compare banks before accepting a rate.
- Tenure — a 3-year loan has a higher monthly EMI but costs substantially less in total interest than a 5-year or 7-year loan on the same principal.
- Processing fee — typically 0.5–1% of the loan amount, charged upfront. Factor this into your total cost comparison across lenders.
Car Loan EMI for Different Amounts
The table below shows indicative monthly EMIs from this car loan EMI calculator at 9% interest for a 5-year tenure:
| Loan Amount | Monthly EMI | Total Interest |
|---|---|---|
| ₹5,00,000 | ₹10,378 | ₹1,22,680 |
| ₹8,00,000 | ₹16,607 | ₹1,96,420 |
| ₹12,00,000 | ₹24,910 | ₹2,94,600 |
| ₹15,00,000 | ₹31,138 | ₹3,68,280 |
Use the Prepayment tab to see how a lump-sum payment in the first year can cut your total interest significantly. All results in this free car loan EMI calculator run entirely in your browser — no data is stored or transmitted anywhere.
Frequently Asked Questions
What is the EMI for a ₹8 lakh car loan?
At 9% interest for a 5-year tenure, the monthly EMI on a ₹8 lakh car loan is approximately ₹16,607 — with total interest of around ₹1.96 lakh. Change the loan amount, rate or tenure in the calculator above to get your exact figure instantly.
How does this car loan EMI calculator work?
This car loan EMI calculator uses the standard formula EMI = P × r × (1 + r)ⁿ ÷ [(1 + r)ⁿ – 1], where P is the principal, r is the monthly interest rate and n is the number of months. Enter your loan amount, rate and tenure and results update instantly. Everything runs in your browser — no data is sent to any server.
Which bank has the lowest car loan interest rate in 2026?
As of 2026, SBI offers one of the lowest starting rates at 8.75% for eligible salaried borrowers, followed by Kotak Mahindra at 8.90% and HDFC at 9.00%. Actual rates depend on your CIBIL score, employer category and loan amount. Always get a written offer before comparing lenders.
What is the maximum car loan I can get on ₹50,000 salary?
Using the standard FOIR guideline (40% of gross monthly income), a ₹50,000 salary supports up to ₹20,000 in total monthly EMIs. At 9% over 5 years, that translates to a maximum car loan of approximately ₹9.6 lakh. Use the Affordability tab above for a personalised estimate based on your exact income and preferred rate.
How does prepayment reduce car loan EMI?
A lump-sum prepayment reduces the outstanding principal immediately. Since the EMI stays fixed, the remaining tenure shortens rather than the instalment amount decreasing. On a ₹8 lakh loan at 9%, prepaying ₹1 lakh after 12 months saves over ₹15,000 in total interest and shortens the remaining tenure by several months. Try it in the Prepayment tab.
Is this car loan EMI calculator free to use?
Yes, completely free. All four tabs — EMI calculator, Prepayment, Affordability and Compare — are free with no signup required. Every calculation runs entirely in your browser and no personal data is stored or transmitted.