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Car Loan EMI Calculator by Balloon Payment
EMI
Balloon Payment
Flat Rate
Reducing Balance
Loan Amount
Loan Tenure
Year
Month
Rate of Interest
%
Balloon Payment
Copy
Share
EMI
20485
Interest
329091
Principal
1000000
Total
1329091
329 K
(3 Lac)
5
Year
1,000,000
272 K
(2 Lac)
Year
Original
Reduced
𝒊
20485
will be
EMI
for
1000000
(1 m/10 Lac)
Loan Amount
for
5
Year
Loan Tenure
at
11.00%
Rate of Interest
.
How to Reduce Interest/ Tenure?
Pay
0
1
2
3
4
5
Extra EMI every year.
𝒊
Increase EMI by
0
2
3
5
7
10
15
20
% every year.
𝒊
Pay Lump-Sum
0
(10 K)
(20 K)
(30 K)
(40 K)
(50 K)
(60 K)
(70 K)
(80 K)
(90 K)
(100 K)
in
0
1
2
3
4
year.
𝒊
Recalculate
Share
Loan
Tenure
Interest
Original
5 year
329091
Reduced
4 year
272850
Saved
1 year
56241
Loan Payment Schedule
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
Original
Reduced
Balloon Payment
409 K
(4 Lac)
306 K
(3 Lac)
204 K
(2 Lac)
102 K
(1 Lac)
0
-
-
-
-
-
2024
2026
2028
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Car Loan EMI by Balloon Payment
A Car Loan EMI by Balloon Payment involves making smaller, regular payments throughout the loan term, with a large lump sum payment, known as the balloon payment, due at the end. This structure allows for lower monthly payments but requires planning for the substantial final payment needed to fully repay the loan. Calculate your Car Loan EMI with our easy-to-use Car Loan EMI Calculator by Balloon Payment Calculator. Plan your repayments, understand the interest and get a clear view of your loan details to drive your dream car without hassle.
Calculate Car Loan EMI by Balloon Payment
Enter loan details like loan amount, interest rate, tenure, and balloon payment amount to calculate car loan EMI by balloon payment.
Click Calculate to view your initial breakdown and calculate car loan EMI by balloon payment based on your inputs.
Customize payment options with three inputs to calculate your car loan EMI by balloon payment.
Select extra EMIs per year to reduce and calculate your car loan EMI tenure.
Increase EMIs by a percentage to manage and calculate your car loan EMI more effectively.
Select a lump sum payment in a specific year to reduce your interest and calculate your car loan EMI.
Adjust inputs and click Recalculate to dynamically update your car loan EMI tenure and interest.
Balloon Payment EMI formula
To calculate Car Loan EMI, use the Balloon Payment EMI formula for precise results. This calculation helps you understand your repayment obligations clearly.
E
M
I
=
(
P
-
B
(
1
+
r
)
n
)
×
r
1
-
(
1
+
r
)
-
n
EMI
= Equated Monthly Installments
P
= loan amount.
B
= balloon payment at the end of the tenure.
r
= monthly interest rate.
n
= total number of monthly installments.
Eligibility Criteria for Car Loan EMI by Balloon Payment
Age and Income:
Applicants should meet the minimum age requirement and have a stable source of income, meeting the lender's specified income threshold for a car loan EMI.
Creditworthiness:
A good credit score is essential, reflecting a positive credit history and repayment behavior, which is crucial for securing a car loan EMI by balloon payment.
Employment Stability:
Borrowers should demonstrate stable employment, typically with a minimum tenure in their current job or business, to qualify for a car loan EMI.
Documentation:
Applicants need to provide necessary documents, including identification proof, income documents, and address proof, to support their loan application for a car loan EMI.
Car Loan EMI Calculator by Balloon Payment FAQ
How does a Balloon Payment EMI differ from a regular EMI?
A balloon payment EMI involves making smaller, regular payments during the loan term, with a large lump sum payment due at the end. Regular EMI types involve equal payments of principal and interest throughout the loan term, with no large final payment required.
How does a Car Loan EMI by Balloon Payment benefit borrowers?
Car loan EMI by balloon payment benefits borrowers with lower monthly payments, focusing mainly on interest costs. This option suits those expecting better financial conditions by the end of the term, such as increased income or plans to sell the vehicle.
What are the risks or drawbacks of a Car Loan EMI by Balloon Payment?
Car loan EMI by balloon payment can pose a financial challenge due to the large final payment, especially if borrowers can’t repay the principal in full. Economic fluctuations, such as declining vehicle values or rising interest rates, could impact the ability to meet this payment.
×
How extra EMI(s) help?
At the end of the year, you can pay extra EMIs out of your savings. This extra EMI payment will go towards your Loan Amount and save you on the interest as well as tenure of the loan.
Payment
Tenure
Interest
Current
5 year
329091
1 Extra EMI/ year
5 year
▶ 0 year
300104
▶ 28987
2 Extra EMI/ year
5 year
▶ 0 year
276122
▶ 52969
3 Extra EMI/ year
4 year
▶ 1 year
258622
▶ 70469
How increasing EMI helps?
As your income increases each year, you can get your EMI increased from the bank. This allows you to allocate more funds towards paying off the loan amount and save you on the interest as well as tenure of the loan.
Payment
Tenure
Interest
Current
5 year
329091
Increase EMI by 1%
5 year
▶ 0 year
323779
▶ 5312
Increase EMI by 3%
5 year
▶ 0 year
313963
▶ 15128
Increase EMI by 5%
5 year
▶ 0 year
304239
▶ 24852
How Paying Lumpsum Amount helps?
If you receive unexpected income, such as a bonus or tax refund, consider making a lump-sum payment on your loan. This can help reduce the outstanding loan amount and save you on the interest as well as tenure of the loan.
Payment
Tenure
Interest
Current
5 year
329091
Pay 10% in 2nd year
5 year
▶ 0 year
288426
▶ 40665
Pay 20% in 3rd year
4 year
▶ 1 year
281534
▶ 47557
Pay 30% in 4th year
4 year
▶ 1 year
304678
▶ 24413
How to Reduce Interest/ Tenure?
Making early payments towards Principal amount can reduce your Interest and/ or Tenure.
1. How extra EMI(s) help?
At the end of the year, you can pay extra EMIs out of your savings. This extra EMI payment will go towards your Loan Amount and save you on the interest as well as tenure of the loan.
2. How increasing EMI helps?
As your income increases each year, you can get your EMI increased from the bank. This allows you to allocate more funds towards paying off the loan amount and save you on the interest as well as tenure of the loan.
3. How Paying Lumpsum Amount helps?
If you receive unexpected income, such as a bonus or tax refund, consider making a lump-sum payment on your loan. This can help reduce the outstanding loan amount and save you on the interest as well as tenure of the loan.
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