Buying a Car is the dream of everyone and nowadays, it is not that difficult to purchase the dream car of anyone’s choice no matter a person is self-employed or a salaried, even a person need not to save a lot of money for a couple of decades either nor needed to be wealthy enough as a person can drive his new car by availing one of the best car loan provided by the Axis bank at low-interest rates which will be easy to return and affordable. The EMI of the Axis bank consists of both principal repayment and interest payment, the principal components keep increasing and the interest components keep reducing despite the EMI amount which will remain constant.
Now the question arises, how to calculate the EMI of the car loan taken? Every month to set the goals according to the person’s budget and at his own choice. For this, we have the Axis Bank Car Loan EMI Calculator to calculate the EMI paid by the customers and to select the best deal as per their choice.
How to use Axis Bank Car Loan EMI Calculator?
|Loan Amount (in Rs)|
|Interest Rate (p.a)|
|Year||Opening Balance||Interest paid|
during the year
during the year
The Axis bank EMI calculator used to calculate the car loan EMI paid every month by the customers. You needs to put the loan amount, the interest rate of the loan, and the tenure period in the calculator, and by clicking Enter, the approximate amount of the car loan will appear on the screen within seconds. The other key feature of this calculator is the Amortization Schedule which helps to show the principle repaid each year and break-up of the interest during the tenure period of the car loan
However, the Axis bank doesn’t guarantee to provide a correct sequence of any detail provided therein, completeness, and accuracy of the calculator. The bank also makes the statement clear by making the point that the user should exercise caution and due care before taking any decisions and any information set out is entirely at the user’s own risk.
The formula of the Axis Bank Car Loan EMI Calculator
The formula of the Axis Bank Car Loan EMI Calculator is
E = the monthly payment or EMI.
P = the principle amount that a person wants to apply for.
R = the rate of interest per month which is calculated as the rate of annual income.
N = the tenure of the loan (in months).
Let’s take an illustration to understand the formula,
Suppose that Adam has taken a Car loan of Rs. 70,000 which he will have to pay back in over 5 years or can say 60 months and the interest rate is 10%. Therefore by applying the above formula in this situation as
Therefore, Adam has to pay the installment of Rs. 14,873 per month.
Benefits of Axis Bank Car Loan EMI Calculator
There are main five benefits of using the EMI Calculator explained below:
- It makes loan planning easier for the user.
- Helps the user to ascertain that how much will be the outgo of the Car loan EMI.
- It also saves the time and energy spent during manual calculations.
- Helps in providing a quick result.
- It is easy to access.
Features of Axis Bank Car Loan
The key features of the Axis Bank Car Loan are listed below:
- The Vehicle loan amount offered by the Axis bank is up to 100% of the road price.
- The interest rate of the Axis Bank Car loan starts at 8.70% to 10.95% depending upon the net income, down payment, and other factors.
- The Axis bank charges a processing fee as the minimum amount of Rs. 3,500 and a maximum amount of Rs. 5,500.
- The Axis bank Car loan is available for both the salaried and self-employed people.
- The maximum tenure of the Car loan provided by the Axis bank is of about 7-8 years.
- The Axis bank provides the lowest EMI of Rs. 1,594 per lakh.
Eligibility Required for Axis Bank Car Loan
A person must be eligible for the following four points mentioned below:
- He/she must be the age minimum of 18 years to a maximum of 75 years.
- He/she should be salaried or self-employed (individual or partnership) with a minimum work experience of 3 years in the same profession or the same business.
- He/she is receiving the salary of the minimum amount of Rs. 10,000 per month.
- He/she is a resident of an Urban/Semi-Urban/Rural area and staying at the current resident for a minimum of 2 years duration.
Documents Required for Axis Bank Car Loan
The following documents are required to apply for the Axis Bank’s Car loan.
- General Documents : Consist of the Application Form, Performa Invoice, Passport size photograph of the applicant, and the KYC Documents.
- For business/Office Proof of a Self-Employed Applicant: Electricity bill,/Telephone bill,/Sales Tax or VAT Certificate/Current Account Statement/ SSI or MSME Registration Certificate/Shop and Establishment Act Certificate/Registered Lease with other Utility Bills.
- Income Proof: Salaried person requires the latest 2 salary slips and latest Form 16 and the self-employed applicant requires 1 latest IRT.
- Bank Statement: For both the salaried or self-employed applicant requires the latest 3 months bank statement.
- Age Proof: PAN Card/Birth Certificate/Driving License/Passport requires in the case of a salaried person only.
- Sign Verification Proof: PAN/Passport/Bank Verification requires for the salaried person only.
- Employment/Business Continuity Proof: Copy of Appointment letter/Date of Joining on Salary Slip/IRT of Form 16/Work Experience Letter/Relieving Letter requires for the salaried person, for the self-employed applicant documents requires are the Shop & Establishment Act Certificate/SSI OR MSME Registration Certificate, Sales Tax or VAT Certificate/Current Bank Account Statement.
Why should a person Opt for an Axis bank Car loan?
A person must choose the Axis bank Car loan facility rather than choosing other loan financial institutions because it provides an attractive interest rate which starts from 9.25% p.a. and also provides the flexible amount of tenure with a maximum period of up to 8 years with the special benefits of providing the priority banking, private banking or wealth banking for the customers. Moreover, the customers of the Axis bank with pre-approved loans don’t need to deposit bank statements and income documents for further loans.
Axis Bank Car Loan Schemes
There are the schemes of different Car loan EMI for different loan amounts and tenure at the interest rate of 8.70% in the Axis Bank. Let’s have a look at these schemes provided by the Axis Bank.
|Loan Amount||2 Years||3 Years||5 Years||7 Years|
|1 Lac||Rs. 4,555||Rs. 3,166||Rs. 2,061||Rs. 1,594|
|3 Lacs||Rs. 13,664||Rs. 9,498||Rs. 6,184||Rs. 4,781|
|5 Lacs||Rs. 22,774||Rs. 15,830||Rs. 10,307||Rs. 7,969|
|10 Lacs||Rs 45,547||Rs. 31,660||Rs. 20,613||Rs. 15,937|
As shown in the table above, the various amount of the lower rate of interest with the changing EMI amount for the tenure of 2 to 7 years. The EMI is lower when the borrower applies for the high tenure such as for the 7 years but the EMI is high when taken for a short tenure for 2 years. And with every EMI, the interest components keep reducing while the proportion of the principal repayment will keep increasing though the amount of the EMI will remain constant.
How to pay the EMI?
The borrower can opt for the following criteria to pay off the EMI for the Car loan in Axis Bank.
- The borrower can use the Post Dated Cheques for the repayment of the Car loan. It is the option provided by the bank if in case, the borrower does not hold an account with Axis bank and it is also helpful for the Non-ECS locations.
- The borrower can also use the National Automated Clearance House (NACH) or either ECS Mandate if he/she does not have an account in Axis bank and wishes to BE debited the EMI automatically at the end of the month.
- The best option for the borrower is the Standing Instruction (SI) which he/she may use if having a salary account, current account, or either saving account with Axis Bank and the EMI will be debited automatically from the account specified by the borrower.
Frequently Asked Questions
Q1. What are the processing charges applied on the Car loan from the Axis Bank?
Ans. The processing fee charges on the Car loan from the Axis bank is the minimum amount of Rs. 3,500 to the maximum amount of Rs. 5,500.
Q2. What is the interest rate provided by the Axis Bank for the Car Loan?
Ans. The Axis Bank is providing the minimum interest rate of 8.70% to a maximum interest rate of 10.95% per annum.
Q3. What do you mean by EMI?
Ans. The full form of EMI is Equated Monthly Installment which consists of the principal portion of the interest and the loan amount. It is usually remain fixed for the entire loan tenure and to be repaid over the entire loan tenure on the monthly basis.
Q4. What are the age limits to apply for the Axis Bank Car Loan facility?
Ans. The applicant must be the age of 26 years to 70 years only. Below or the above of these mentioned age group person cannot be eligible to apply for the Axis bank Car loan.
Q5. Why does a person need to use the Axis Bank Car Loan EMI Calculator?
Ans. A person requires to use the Axis bank Car loan EMI calculator to estimate the monthly installment for their convenience to pay off the monthly EMI. It helps provide the approximate amount of the monthly EMI by only entering the loan amount, the interest rate of the given loan, and the tenure period. By using this calculator a person can also save time and the accuracy level provided in this calculator is also high from the manual calculations.