1. What is Car Loan EMI?

EMI (Equated Monthly Installment) is the fixed payment amount made by a borrower to a lender at a specified date each calendar month for car loan repayment through BOB credit card.

2. How Does the Calculator Work?

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 tenure.

3. Importance of EMI Calculation

Details: Accurate EMI calculation helps in financial planning, budgeting, and comparing different loan offers for your car purchase through BOB credit card.

4. Using the Calculator

Tips: Enter loan amount in ₹, annual interest rate in percentage, and loan tenure in months. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is the advantage of using BOB credit card for car loan?
A: BOB credit card offers competitive interest rates, flexible tenure options, and sometimes special discounts on car purchases.

Q2: How does tenure affect EMI?
A: Longer tenure reduces EMI but increases total interest paid. Shorter tenure means higher EMI but less total interest.

Q3: Are there any hidden charges in BOB car loan EMI?
A: The calculator shows principal and interest components. Additional charges like processing fees or insurance may apply.

Q4: Can I prepay my car loan?
A: BOB credit card may allow prepayment with certain terms and conditions, possibly with prepayment charges.

Q5: Is EMI amount fixed for entire tenure?
A: Yes, EMI remains fixed unless interest rates change (in case of floating rate loans) or you make part payments.