What is the Car loan EMI calculator?

Whether you work for a company or for yourself, you can buy the car of your dreams today. Unlike a few decades ago, you don't have to be rich or save up a lot of money to buy your first car. You can just get a new Car Loan and get behind the wheel of your dream car sooner.

You can get a pre-approved car loan, but it depends on your income and credit score. There are also limits on how long the loan can last and how much you can borrow.

For people who want to buy a new car, banks offer Car Loans with an attractive interest rate, a low processing fee, a repayment period of up to 7 years, and a higher loan-to-value ratio (100 percent on-road price funding on certain models). Even sole proprietorships, partnerships, companies, trusts, and societies can get a Car Loan.

How is car EMI calculated?

EMI (Equated Monthly Instalment) is a way to make it easier to pay back your loan.

With the following math formula, you can figure out how much your car loan payment will be: EMI Amount = [P x R x (1+R)N]/[(1+R)N-1],

This also means that if you change any of the three variables, the EMI value will change. Let's talk in depth about these three factors.

"P" stands for the amount you owe. The interest will be figured out based on the original loan amount that the bank gave you.

"R" stands for the interest rate that the bank decides on.

N is the number of years the loan has to be paid back. Since you have to pay the EMIs every month, the number of months is used to figure out how long it will take.