Car Loan Comparison Calculator
Car loans make vehicle ownership accessible. Compare up to three car loan options with Loanpao’s advanced calculator to find the most cost-effective deal for your dream car, whether new or used.
Compare Car Loans
What Is Car Loan Comparison?
Car loan comparison involves evaluating multiple loan offers based on loan amount, interest rate, tenure, and repayment terms to identify the most cost-effective option for purchasing a new or used vehicle.
How To Use Car Loan Comparison Calculator
To use the car loan comparison calculator, follow these steps:
- Enter the loan amount, interest rate, and tenure for up to three car loans.
- Click "Compare Loans" to view EMI, total interest, and total repayment for each loan.
- Review the results table and chart to choose the best loan option.
How Is Car Loan Comparison Calculated?
The comparison is based on the EMI formula: EMI = P × r × (1+r)^n / [(1+r)^n - 1], where:
- P = Loan amount
- r = Monthly interest rate (annual rate / 12 / 100)
- n = Loan tenure in months
For example, for a ₹10,00,000 loan at 9% interest for 7 years:
- Monthly rate = 9% / 12 / 100 = 0.0075
- Months = 7 * 12 = 84
- EMI = 10,00,000 × 0.0075 × (1+0.0075)^84 / [(1+0.0075)^84 - 1] ≈ ₹18,722
- Total Repayment = 18,722 × 84 ≈ ₹15,72,648
- Total Interest = 15,72,648 - 10,00,000 = ₹5,72,648
The calculator compares these metrics across multiple loans.
Car Loan Comparison Criteria
| Criteria | Details |
|---|---|
| Interest Rate | Lower rates reduce EMIs and total interest paid. |
| Loan Tenure | Shorter tenures increase EMIs but reduce total interest. |
| Down Payment | Higher down payments reduce the loan amount and interest. |
| Vehicle Type | New cars may have lower rates than used cars. |
Frequently Asked Questions
Comparing car loans helps you find the most affordable option, saving on interest and fees over the loan term.
Key factors include interest rates, loan tenure, down payment, and vehicle type (new or used).
Yes, this calculator allows comparison of loans for both new and used cars, adjusting for different rates and terms.