1. What is Car Loan EMI?

EMI (Equated Monthly Installment) is the fixed payment amount a borrower pays to the lender (Axis Bank) each calendar month until the loan is paid off. It consists of both principal and interest components.

2. How EMI Calculation Works

The calculator uses the standard EMI formula:

Where:

• \( PMT \) — Monthly EMI payment
• \( P \) — Principal loan amount
• \( r \) — Monthly interest rate (annual rate divided by 12)
• \( n \) — Loan tenure in months

Explanation: The formula calculates the fixed monthly payment that will completely pay off the loan (principal + interest) over the loan term.

3. Axis Bank Car Loan Features

Details: Axis Bank offers competitive interest rates, flexible repayment tenures (up to 7 years), and quick loan processing for new and used car purchases.

4. Using the Calculator

Tips: Enter loan amount in INR, annual interest rate (Axis Bank's current rate), and loan tenure in years. The calculator will show your monthly EMI, total repayment amount, and total interest payable.

5. Frequently Asked Questions (FAQ)

Q1: What is Axis Bank's current car loan interest rate?
A: Rates vary (typically 8.50% p.a. onwards) based on loan amount, tenure, and applicant's profile. Check Axis Bank's website for current rates.

Q2: Does EMI include insurance and other charges?
A: No, this calculator shows only principal and interest components. Additional charges may apply separately.

Q3: Can I prepay my Axis Bank car loan?
A: Yes, Axis Bank allows prepayment usually after 12 EMIs, with possible prepayment charges.

Q4: What is the maximum loan tenure Axis Bank offers?
A: Typically up to 7 years for new cars and up to 5 years for used cars, subject to vehicle age.

Q5: How does EMI change if interest rates change?
A: For fixed-rate loans, EMI remains constant. For floating rates, EMI may change with rate revisions.