Federal Bank Car Loan EMI Calculator

The Federal Bank Car Loan EMI Calculator is a handy online tool that helps you quickly estimate your monthly car loan repayments. By entering basic details like loan amount, tenure, and interest rate, you can instantly see the EMI (Equated Monthly Installment) you would need to pay. This makes planning your finances easier and allows you to choose the right loan offer without any guesswork.

How to Use the Wishfin Federal Bank Car Loan EMI Calculator?

​To use the Wishfin Federal Bank Car Loan EMI Calculator, you just need to keep some of the points and steps in mind, and you are good to go. You need to enter the loan amount, where you have to put the desired loan amount you wish to borrow. Then, select the interest rate offered by the bank. Then, choose the loan tenure.

Example of Federal Bank Car Loan EMI Calculation

Let’s understand how the Federal Bank Car Loan EMI Calculator works with a simple example.

Imagine you need a car loan from the Federal Bank of Rs 5,00,000 for a tenure of 5 years, and the applicable interest rate is 14.5%. The table below will give you a clear breakdown of the calculations for this scenario.

Formula for Calculating Federal Bank Car Loan EMI

The EMI (Equated Monthly Installment) for a Federal Bank Car Loan is calculated using the formula:

[PxRx(1+R)^N]/[(1+R)^N-1]
This formula helps you determine the fixed amount you will need to pay every month to repay your car loan within the selected tenure.

Understand with the Simple Example -

Suppose you take a car loan of Rs 5,00,000 from Federal Bank at an annual interest rate of 14.5% for 5 years (60 months).

First, calculate the monthly interest rate:

Loan Amount (P) = Rs 5,00,000
Annual Interest Rate = 14.5% → Monthly Rate (R) = 14.5 ÷ 12 ÷ 100 = 0.01208
Tenure (N) = 60 months

Now applying the formula:

[PxRx(1+R)^N]/[(1+R)^N-1]

On solving, EMI comes out to approximately Rs 11,795.

The Minimum EMI Available for a Federal Bank Car Loan

Documents Required For Federal Bank Car Loan

KYC Documents

• Two passport-sized photos of the applicant and co-obligant
• Identity Proof: Passport, Voter ID, Driving License, PAN Card, or Aadhaar Card
• Address Proof: Passport, Voter ID, Driving License, or Aadhaar Card
• Age Proof: Passport, Birth Certificate, Driving License, SSLC or AISSE Certificate
• Additional Documents for Non-Resident Customers: Certified copy of Passport, Visa, Work Permit, and ID card

For Resident Salaried Individuals

• Latest Salary Certificate / Salary Slip (last 3 months)
• Copies of Income Tax Returns (last 2 years) or Form 16 (last 2 years)
• Latest 6 months' Bank Account Statements evidencing salary credits

For Resident Self-Employed Individuals

• Proof of business existence & business profile
• Last 12 months' Bank Account Statements
• Income Tax Returns for the last 2 years supported by Balance Sheet & P&L Account. Tax-paid challans may also be collected if available, or IT returns supported by a tax calculation sheet & challans

For Non-Resident Salaried Individuals (Either Option 1 or 2)

Option 1:

• NRE account statement with any bank for the last year
• Embassy or CRO certified Salary Certificate, or the latest 3 months' salary slip, along with a Salary Certificate/Slip backed by 6 months' salary credit statements.

Option 2:

• Two years of NRE account statements of the customer and/or resident accounts of spouse/parents (with the same or another bank) in which remittance is made

For Non-Resident Self-Employed Individuals (Either Option 1 or 2)

Option 1:

• Proof of business existence & business profile
• Last 12 months' Bank Account Statements
• Balance Sheet & P&L Account for the last 2 years. Tax-paid challans may also be collected if available

Option 2:

• Two years of NRE account statements of the customer and/or resident accounts of spouse/parents (with the same or another bank) in which remittance is made

Other Documents

• • Invoice for the car
  • Latest land tax receipt or proof of ownership (e.g., latest land/building tax receipt, Electricity Bill, Water Bill, etc.)
  • Sale Letter & Valuation Letter from an authorized used car dealer (in case of used car purchase)
  • For Loans Over ₹25 Lakhs: Property documents, including:
• Documents of title
• Encumbrance Certificate (EC) for 13 years
• Possession Certificate
• Location Sketch
• Land and Building Tax Receipts

Eligibility for Federal Bank Car Loan

The Federal Bank Car loans are available for:

• Individuals,
• sole proprietorships,
• partnership firms,
• companies,
• trusts,
• educational institutions, and
• other legally recognized organizations with sufficient and regular income to ensure timely repayment of the loan.

Factors Affecting Federal Bank Car Loan EMI

• Principal: The principal is the loan amount you borrow from the bank. A smaller principal amount leads to a reduced EMI, whereas a larger principal amount raises the EMI.
  
• Rate of Interest: This is the interest rate at which the bank offers you the car loan. A higher interest rate leads to a higher EMI and vice versa, as the EMI is directly proportional to the interest rate.
  
• Tenure: Tenure refers to the period over which the loan is to be repaid. It is inversely proportional to the EMI, meaning a longer tenure reduces your EMI, while a shorter tenure increases it.

Features/ Benefits of Federal Bank Personal Car Loan

Here are the features and benefits of the Car Loan offered by Federal Bank -

• Up to 95% funding on the on-road price for new cars and up to 90% funding for pre-owned cars
• Repayment period of up to 84 months
• Competitive interest rates
• Free personal accident insurance of up to Rs 10 lakhs for individuals
• Can be used for buying new cars, pre-owned cars, and new two-wheelers.
• Reimbursement will be provided within one month of the car purchase date.
• No income document scheme available
• Faster loan processing

Other Fees/Charges of Federal Bank Car Loan

Conclusion

The Federal Bank Car Loan EMI Calculator is an essential tool for anyone looking to finance their dream car. By simply entering the loan amount, interest rate, and tenure, you can easily estimate your monthly EMI, helping you plan your finances better. This tool allows you to make informed decisions, ensuring that you choose a loan option that fits your budget and repayment capabilities. Whether you're buying a new or pre-owned vehicle, the EMI calculator provides a quick and accurate way to determine the cost of your loan.