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Car loan EMI calculator
What the car really costs once interest and fees are counted, and how the tenure changes it.
Reading the result
An ₹8 lakh loan at 9.25% for five years costs about ₹16,704 a month, with about ₹2 lakh in interest and an ₹8,000 processing fee. A longer tenure lowers the EMI but keeps you paying interest on a car that loses value every year.
Getting a better deal
- Ask whether the rate is a reducing-balance rate. Some dealer offers quote a flat rate, which looks lower but costs more. Check with the flat vs reducing calculator.
- A larger down payment lowers both the EMI and the interest.
- Compare the lender’s foreclosure charges if you may repay early.
How long should a car loan be?
Three to five years for most buyers. Beyond that, the loan often outlasts the car’s best years.
Is car loan interest tax-deductible?
Not for a personal car. A car used for business may allow a deduction against business income; ask a tax professional.