Car Loan EMI Calculator
Calculate car loan EMI including on-road price, insurance, and RTO costs. Find the right tenure. Free, privacy-first — inputs never leave your browser.
Loan Details
Results
Your Monthly EMI
₹16,801
Principal
₹8,00,000
Total Interest
₹2,08,089
Total Payment
₹10,08,089
Yearly Amortization Schedule
| Year | Principal Paid | Interest Paid | Balance |
|---|---|---|---|
| 1 | ₹1,31,234 | ₹70,383 | ₹6,68,766 |
| 2 | ₹1,44,259 | ₹57,359 | ₹5,24,506 |
| 3 | ₹1,58,576 | ₹43,041 | ₹3,65,930 |
| 4 | ₹1,74,315 | ₹27,303 | ₹1,91,615 |
| 5 | ₹1,91,615 | ₹10,003 | ₹0 |
Car loan rates — all 20 major lenders
| Bank | Rate (p.a.) | Open |
|---|---|---|
| 01Bank of BarodaLowest | 9.15% | |
| 02State Bank of India | 9.20% | |
| 03Punjab National Bank | 9.25% | |
| 04Canara Bank | 9.25% | |
| 05HSBC India | 9.25% | |
| 06Union Bank of India | 9.30% | |
| 07Citibank India | 9.30% | |
| 08HDFC Bank | 9.40% | |
| 09DBS Bank India | 9.40% | |
| 10ICICI Bank | 9.50% | |
| 11Kotak Mahindra Bank | 9.50% | |
| 12Karnataka Bank | 9.55% | |
| 13Axis Bank | 9.60% | |
| 14Yes Bank | 9.60% | |
| 15Federal Bank | 9.65% | |
| 16South Indian Bank | 9.70% | |
| 17IndusInd Bank | 9.75% | |
| 18IDFC First Bank | 9.80% | |
| 19RBL Bank | 9.80% | |
| 20AU Small Finance Bank | 9.95% |
Rates are indicative starting rates based on publicly available information. Final rate depends on your credit score, income, and loan tenure.
For estimation only. Not professional financial, tax, or legal advice. Consult a qualified advisor before making decisions. Full disclaimer.
Car loan basics
Banks typically fund 80-90% of on-road price for new cars and 70-80% for used cars. Rates range from 8.75% to 14% for new cars, 13-17% for used cars. Maximum tenure is 7 years (84 months) at most lenders; NBFCs offer up to 96 months. Vehicle financing in India is regulated by the RBI Master Directions.
On-road price components
- Ex-showroom price
- RTO tax (varies 6-20% by state)
- Insurance (first year bundled)
- Extended warranty and accessories (optional)
Common questions about Car Loan
What is the max car loan tenure in India?+
Most banks offer car loans for up to 7 years (84 months). A longer tenure lowers EMI but increases total interest.
What interest rate can I expect on a car loan?+
New car loan rates range from 8.70% to 11.50% p.a. in 2026. Public sector banks (SBI, BoB, Canara) offer 8.70%-9.60%; private banks (HDFC, ICICI, Axis) charge 9.25%-11.00%. Used car loans are priced 2%-4% higher (11%-14%). Rates depend on credit score, car model (premium brands get better terms), and loan-to-value ratio.
How much down payment should I make?+
Banks finance up to 85%-90% of on-road price for new cars and 65%-75% for used cars. A larger down payment (30%+) reduces EMI burden and the risk of being "upside down" (owing more than the car is worth). Cars depreciate 15%-20% in year 1 — if you put just 10% down, you may owe more than the car value for the first two years.
Are car loan EMIs tax-deductible?+
For salaried individuals: no. For self-employed or business owners using the car for business, interest paid is deductible under Section 32 (depreciation) and Section 37 (interest on business loan). Maintain a logbook distinguishing personal vs business use; tax department allows proportional deduction. Electric vehicles get additional ₹1.5 lakh deduction under Section 80EEB for loans sanctioned between April 2019 and March 2023.
Should I lease or take a car loan?+
For personal use: buying via loan is usually cheaper because you own the asset at the end. Leasing works only if you are a business owner (100% lease rent deductible) or change cars every 3 years. Loan EMI builds equity; lease rental is a pure expense. Compute total cost of ownership over 5-7 years including insurance, maintenance, and resale value.
What is on-road price and why does it matter?+
On-road price = ex-showroom price + RTO registration + road tax + insurance + handling. It can be 12%-20% higher than ex-showroom. A car with ex-showroom ₹10L may cost ₹11.5L-12L on-road. Banks finance on ex-showroom or on-road; financing on-road reduces your out-of-pocket upfront but increases total interest paid. Always negotiate the ex-showroom price first, then decide financing.