Car Loan EMI Calculator
- Buying a car is one of life’s biggest dreams. But it is also a huge investment that can take away a lot of life’s savings. But there is a way in which you can afford a car, without dipping too much into your savings – by taking a car loan. This way you do not have to compromise on the car type, and pay for it in affordable Equated Monthly Instalments or EMIs. You could even calculate your loan EMI before you actually purchase the car with the help of a car loan EMI calculator.
How to Calculate Car Loan
You can calculate your car loan EMI in three simple and easy steps on a freely available tool known as the online car loan EMI calculator. This calculator is easily available on the bank’s website and can compute complex calculations in a matter of seconds. Just follow the below steps:
- Enter the loan amount your wish to borrow
- Enter the rate of interest which typically starts at 7.25%. p.a.
- Enter the tenure in months with a maximum tenure of 84 months
- When you enter the principal (P), interest rate (R) and tenure in months (N) using the below formula in the car loan EMI calculator, you arrive at the monthly payable EMI.
- EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
- You can pay for your car in affordable monthly instalments
- You can choose the loan tenure flexibly
- You can find out exactly how much to pay in EMIs due to car/auto loan EMI calculator
- You do not have to provide collateral
Amortization of Car Loan EMI calculator
- Apart from the auto loan EMI calculator, you can use another online tool known as the amortization calculator which allows you to understand your car loan payments at any given time. The car loan amortization table provides a detailed, structured account of your loan by including the loan amount, rate of int erest, tenure and other factors that affect the borrowing and repayment of the loan. It shows how the loan progresses throughout its tenure including monthly payable EMIs, total interest paid, amounts overdue after each paid EMIs etc.