Car & Bike Calculators

How these calculators work

How is a car loan EMI calculated?

Lenders use one formula: EMI = P x r x (1 + r)^n / ((1 + r)^n - 1), where P is the loan amount, r is the monthly interest rate (the yearly rate divided by 12) and n is the number of months. A ₹10 Lakh car with 20% down leaves a ₹8 Lakh loan; at 9.5% a year over 5 years that is about ₹16,801 a month, and about ₹2.08 Lakh in interest over the loan.

How is the on-road price worked out?

Start with the ex-showroom price, then add road tax, which each state sets by price band and fuel, insurance, and small extras such as the FASTag. On our figures, a ₹10 Lakh petrol car comes to about ₹11.21 Lakh on-road in Delhi and ₹11.61 Lakh in Mumbai.

How is the running cost calculated?

Divide the distance you drive by the mileage, then multiply by the fuel price. At 40 km a day in a car that does 18 km a litre, with petrol at ₹100, that is about ₹222 a day, or ₹5.56 a km. An electric car doing 6 km a unit, charged at ₹8 a unit, costs about ₹53 a day for the same distance.

What does the 5-year cost to own include?

The price you pay, plus five years of fuel and maintenance, minus what the vehicle is likely to be worth after five years. We assume maintenance of about ₹0.60 a km for petrol, ₹0.75 for diesel, ₹0.48 for hybrids and ₹0.35 for electric, and a resale value of 45% of the price.

How accurate are these numbers?

They are estimates to plan with, not quotes. Insurance depends on the insurer and add-ons, loan rates on the lender and your credit score, and real mileage on how and where you drive. Dealers may also add handling or accessory charges.