Car Loan EMI Calculator

Calculate your auto loan EMI, view complete monthly breakdowns, and plan your vehicle purchase budget.

Reviewed for Budget 2025 • Last updated 21 June 2026 • by Sandesh D.

Car Loan Parameters

Loan Amount₹8,00,000
Interest Rate (p.a.)9.50%
%
Loan Tenure5.0 Years (60 months)
Months
Monthly EMI
₹16,801
Principal Amount₹8,00,000
Interest Payable₹2,08,089
Total Amount Payable₹10,08,089
Principal (79%)
Interest (21%)

Repayment Amortization Schedule

YearPrincipal PaidInterest PaidTotal PaidEnding Balance
Year 1₹1,31,235₹70,382₹2,01,612₹6,68,766
Year 2₹1,44,259₹57,358₹2,01,612₹5,24,506
Year 3₹1,58,575₹43,041₹2,01,612₹3,65,930
Year 4₹1,74,315₹27,303₹2,01,612₹1,91,615
Year 5₹1,91,616₹10,003₹2,01,612₹0
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Calculation Methodology & Rules

Car loans are short (3–7 years) on a depreciating asset, so tenure choice matters more than on a home loan.

Worked example: ₹8 lakh car loan at 9.5% for 5 years

If you borrow ₹8 Lakhs to buy a vehicle at an interest rate of 9.5% for 5 years (60 months):

  • Principal Amount: ₹8,00,000
  • Annual Rate: 9.5% (Monthly rate r ≈ 0.792% per month)
  • Loan Tenure: 5 Years (60 months)
  • Monthly Car Loan EMI: ₹16,801 / month
  • Total Interest Payable: ₹2,08,089
  • Total Loan Repayment Amount: ₹10,08,089

Learn more and estimate loan costs:

Financing Costs

Car loans often charge processing charges and doc fees. Ensure you negotiate the "on-road price" loan rather than just ex-showroom rates.

For detailed rules, formulas, references, and official guidelines, see the complete Ganakam Calculation Methodology.

Frequently Asked Questions

Usually 3–7 years. A shorter tenure raises the EMI but saves interest and reduces the risk of owing more than the car's depreciated value.

For salaried individuals, no — a personal car loan carries no deduction. Self-employed borrowers using the car for business may claim the interest and depreciation as a business expense.

Most lenders allow it. Floating-rate loans to individuals typically have no prepayment penalty, though fixed-rate car loans may charge one.