Utilise the Used Car Loan EMI Calculator on Bajaj Markets website to determine your monthly repayment amount. Simply input the principal amount, interest rate, and loan tenure duration for accurate EMI calculation.
The calculation results are based on the values you enter in the calculator. Your EMI amount (including the actual interest amount charged) will depend on the prevailing rates. The results are neither certified nor guaranteed. The repayment schedule presented is for illustration purposes. Confirm the values with your lender prior to applying for the used car loan.
FAQs
How is the EMI calculated for a second-hand car loan?
The EMI for a second-hand car loan is calculated using the following formula:
EMI = P x R x (1+R)N / [(1+R)N-1]
Where:
EMI is the Equated Monthly Instalment
P is the principal amount (loan amount)
R is the monthly interest rate (annual rate of interest divided by 12 and multiplied by 100)
N is the loan tenure in months
How do prepayments affect my used car loan EMIs?
Prepayments on a used car loan can lead to a reduction in the outstanding principal amount. This, in turn, lowers the overall interest payable and shortens the loan tenure. As a result, your EMIs may either decrease or the loan tenure may be reduced, depending on the lender's policy. However, it is essential to check with the lender as some may charge additional prepayment penalties or fees.
