Car Loan Calculator
How to Use the Car Loan Calculator
Here’s a simple guide to using the car loan calculator I provided:
Step-by-Step Instructions
- Enter Loan Amount
- Input the total amount you want to borrow (in ₹) in the “Loan Amount” field
- Example: If you’re buying a car worth ₹8,00,000 with ₹2,00,000 down payment, enter ₹6,00,000
- Enter Interest Rate
- Input the annual interest rate offered by your bank
- Example: For 8.5% interest rate, enter “8.5”
- Enter Loan Term
- Input the number of years for repayment
- Example: For a 5-year loan, enter “5”
- Click Calculate Button
- Press the green “Calculate EMI” button to see results
Understanding the Results
After calculation, you’ll see:
- Monthly EMI: Your fixed monthly payment amount
- Loan Amount: The principal amount you borrowed
- Total Interest: The extra amount you’ll pay in interest
- Total Payment: Principal + total interest (actual cost of your loan)
- Loan Term: Your repayment period in years and months
Example Calculation
For a ₹5,00,000 loan at 9% interest for 5 years:
- Monthly EMI: ₹10,379
- Total Interest: ₹1,22,725
- Total Payment: ₹6,22,725
Tips for Best Use
- Compare Offers: Try different interest rates from various banks
- Adjust Tenure: See how longer/shorter terms affect your EMI
- Plan Down Payment: Try different loan amounts to see EMI impact
- Budget Check: Ensure the EMI fits your monthly budget
The calculator helps you understand the true cost of your car loan before you commit to any financial institution.