Calculate your car loan EMI, on-road price, and total cost. Get accurate estimates for new and used car loans from all major Indian banks.
Price of the car before taxes and registration
Minimum 10% for new, 25% for used cars recommended
New car: 7.6%-12% | Used car: 12%-16% (2024-2025)
Choose between 1 to 7 years (3-5 years recommended)
Monthly EMI
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On-Road Price
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Loan Amount
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Total Interest
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Total Months
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Down Payment %
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A car loan (also called auto loan or vehicle loan) is a secured loan provided by banks and NBFCs to help you purchase a new or used car. You repay the loan through fixed monthly installments (EMIs) over 1-7 years. Banks typically finance 80-90% of the on-road price for new cars and 65-75% for used cars.
New Car Loans
8.70% - 12.00%
SBI: 9.20% | HDFC: 9.90% | ICICI: 10.75%
Used Car Loans
12.00% - 16.00%
Varies by car age (0-3 yrs: 12-13% | 3-5 yrs: 14-16%)
Rates vary by credit score, loan amount, and lender. Good credit (750+) can save 1-2% on interest!
First-Time Buyer - Hatchback
Car: Maruti Swift (Ex-showroom: ₹8 Lac, On-road: ₹9.2 Lac)
Loan: ₹7.36 Lac at 9.5% for 5 years (20% down payment)
Monthly EMI: ₹15,498 | Total Interest: ₹1.93 Lac
Tip: Choose 3-year tenure (EMI: ₹23,453) to save ₹72,000 in interest!
Upgrading Family - SUV
Car: Hyundai Creta (Ex-showroom: ₹15 Lac, On-road: ₹17.5 Lac)
Loan: ₹12 Lac at 10% for 5 years (30% down payment)
Monthly EMI: ₹25,485 | Total Interest: ₹3.29 Lac
Smart Move: 30% down payment saves ₹1.4 Lac vs 10% down payment!
Budget Buyer - Used Car
Car: 3-year-old Honda City (Price: ₹7 Lac)
Loan: ₹5.25 Lac at 13% for 4 years (25% down payment)
Monthly EMI: ₹13,989 | Total Interest: ₹1.47 Lac
Caution: Used car rates are 3-4% higher. Check car condition thoroughly!
| Component | Typical % | Example (₹10L Car) | Notes |
|---|---|---|---|
| Ex-Showroom Price | Base | ₹10,00,000 | Price before taxes |
| Road Tax/RTO | 5-20% | ₹1,00,000 | Varies by state (Delhi: 10%, Maharashtra: 13-18%) |
| Insurance (1st Year) | 1.5-3% | ₹25,000 | Comprehensive coverage mandatory |
| Registration & Misc | 1-1.5% | ₹12,000 | Number plate, handling, etc. |
| Total On-Road Price | ~115-125% | ₹11,37,000 | Actual amount you pay |
| Feature | New Car Loan | Used Car Loan |
|---|---|---|
| Interest Rate | 8.70% - 12% | 12% - 16% |
| Loan Amount | Up to 90% of on-road price | Up to 70-75% of car value |
| Maximum Tenure | 7 years | 5 years (depends on car age) |
| Processing Fee | 2.5% - 4% | 3% - 5% |
| Documentation | Standard | Extensive (valuation, RC check, etc.) |
Higher Down Payment
Pay 25-30% upfront instead of minimum 10-15%. Reduces EMI burden and saves ₹50K-1L in interest for a ₹10L car!
Shorter Tenure
Choose 3-4 years over 6-7 years. Cars depreciate fast - don't pay for a car longer than it's worth!
Compare Rates
1% difference on ₹5L loan = ₹15,000 extra over 5 years. Shop around for best rates!
Improve Credit Score
750+ score gets 1-2% lower rates. Pay credit card bills on time for 6 months before applying!
| Bank | New Car Rate | Used Car Rate | Processing Fee |
|---|---|---|---|
| SBI | 8.85% - 9.80% | 11.05% - 13.05% | Nil - ₹1,500 |
| HDFC Bank | 9.40% Onwards | 12.50% - 14.50% | 0.50% |
| ICICI Bank | 9.10% Onwards | 12.00% Onwards | ₹3,500 - ₹8,500 |
| Axis Bank | 9.20% - 10.50% | 13.50% - 15.50% | ₹3,500 - ₹7,000 |
| PNB | 8.75% - 9.60% | 10.45% - 12.00% | 0.25% |
| Loan Amount | 3 Years Tenure | 5 Years Tenure | 7 Years Tenure |
|---|---|---|---|
| ₹5 Lakhs | ₹16,016 | ₹10,501 | ₹8,192 |
| ₹8 Lakhs | ₹25,626 | ₹16,802 | ₹13,107 |
| ₹10 Lakhs | ₹32,033 | ₹21,002 | ₹16,384 |
| ₹15 Lakhs | ₹48,049 | ₹31,503 | ₹24,575 |
| ₹20 Lakhs | ₹64,065 | ₹42,004 | ₹32,767 |
Linked to bank's repo rate (RLLR)
Remains constant throughout tenure
For Informational Purposes Only: This calculator provides estimates based on the inputs you provide. Actual loan terms, EMI amounts, interest rates, on-road prices, and additional charges may vary based on lender policies, location, dealer charges, and current regulations.
Not Financial/Legal Advice: The information and calculations provided here are NOT professional financial or legal advice. Do not make vehicle purchase or financing decisions based solely on these calculations.
Consult Professionals: Always consult with certified financial advisors and dealers for actual quotes before making any car loan or vehicle purchase decisions.
On-Road Price Variations: RTO charges, road tax, and insurance costs vary significantly by state, city, vehicle type, and individual circumstances. The calculations provided are estimates only.
No Liability: QuickTools India assumes no responsibility for any financial decisions or actions taken based on the calculations or information provided on this tool.