A car, being the most essential mode of transport these days, has become almost like a status symbol for many people. And they have been driving different varieties and brands of cars to maintain their status. But there are some situations when many people are unable to buy a car for themselves, so then you think of applying for car loans.
However, there are many banks in the market today that have been offering car loans to their customers. And SBI Bank is one of the leading banks that provide car loans at the lowest interest rates. The main features of applying for SBI car loans are low EMIs, quick loan amount disbursement, and on-road prices including registration charges, yearly maintenance charges, extended insurance and warranty, and the cost of accessories.
So, let us move ahead and understand how you can calculate the EMI for your car loans.
What is a car loan EMI calculator?
A car loan calculator is a simple tool that can be used to calculate the precise amount you have to pay as a monthly installment on your car loan. You just need to put the below details into the EMI calculator and you will get your loan EMI amount.
The loan amount you need
The tenure you would like to repay the loan depends
The interest rate being offered by the bank, and
The details of the processing fee
The EMI calculator offered by the SBI bank is its official website where you can conveniently enter the required details and get to know about your loan EMI. If you find that the EMI amount is too high, then there are options to make changes to the loan amount and the loan tenure entered on the website. And this is the way you can ensure that your EMI stays within your budget.
Below is how you can use this online SBI Bank EMI calculator for your car loan:
You can use the slider to select the required loan amount and loan tenure for your car loan.
Enter the applicable interest rate and processing fee details.
Click on “calculate.”
The EMI calculator will then display the EMI that you would need to pay for your car loan.
The EMI calculator is created by using the following formula:
EMI = [P x R x (1 + R) ^ N] / [(1 + R) ^ N – 1]
Where P is the principal amount for which the loan is applied, R is the interest rate being offered by SBI bank, and N is the number of installments you would like to pay.
Advantages of using SBI Banks’ EMU calculator
Customers applying for SBI bank car loans can get several advantages by using the calculators, like:
The complex calculations can be solved immediately with the help of the EMI calculators.
The rate of interest can be calculated to get more accurate results.
The EMI calculators help you decide on a comfortable EMI and loan repayment tenure.
It even allows you to make several readjustments if required.
As a result, before applying for an SBI car loan, ensure that you use a convenient SBI car loan EMI calculator to plan your EMI in your budget.
Factors affecting the car loan EMI
Several factors can affect the SBI car loan calculation. As we know, the SBI bank car loan EMI directly depends upon the loan tenure, the principal amount, and the rate of interest. However, any changes in these variables can surely result in changing the loan EMI amount as well. Some other factors for the same are:
The category of the applicant is self-employed, salaried, professional, or businessman.
The age group of the applicants
New or used cars
Income slabs
Loan tenure
Used or new cars
A car loan scheme applied for
Bank account details of the applicant
the loan’s application value for the car
FAQs
Both salaried and non salaried individuals who are aged between 21 years to 65 years can get a SBI Car Loan.
The minimum EMI limit for SBI Car Loan is INR 1,622/Lakh. Moreover, the sum to be paid as EMI includes both principal sum and interest amount.
The repayment tenure of SBI Car loan is 7 years.