Car Loan EMI Calculation
Formula for Car Loan EMI Calculation:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
E: Equivalent Monthly Installment,
P: Principal or total loan amount,
r: Interest rate per month (the annual interest rate is divided by 12 to get the monthly interest rate), and
n: Number of monthly instalments or loan tenure in months.
*This formula excludes the car loan processing fee charged by the bank.