📐 Formula Used
EMI = [P × r × (1+r)^n] / [(1+r)^n – 1] P = Loan Amount, r = Monthly Rate, n = Months
Frequently Asked Questions
What is the car loan interest rate in India?
Car loan rates typically range from 7.5% to 12% p.a. depending on the lender, loan amount, and borrower's CIBIL score.
What is the maximum car loan tenure?
Most banks offer car loans for up to 7 years (84 months). Longer tenure reduces EMI but increases total interest cost.
Can I get 100% financing for a car?
Very few lenders offer 100% financing. Most require 10–20% down payment. Higher down payment means lower EMI.
Is car loan interest tax-deductible?
For personal car loans, the interest is not tax-deductible. For business use, interest may be claimed as a business expense.