Buying a car is a significant milestone, and for many, 2025 might just be the year to bring home that dream vehicle. Whether you're eyeing a stylish hatchback or a robust SUV, understanding the financial commitment through an EMI (Equated Monthly Instalment) breakdown can help you make an informed decision. Here's a look at popular models across segments and what your EMI might look like.
Let’s take a closer look at the estimated EMIs for some of the cars across different segments in 2025, assuming a car loan of 85% of the on-road price, an interest rate of 9.5% per annum, and a tenure of 5 years (60 months).
Some of the most popular hatchbacks in India include the Maruti Suzuki Swift and Hyundai Grand i10 Nios, known for their affordability and fuel efficiency.
Let’s assume the on-road price is ₹7 lakh. Loan amount (85%) = ₹5.95 lakh.
These compact hatchbacks can be ideal for first-time buyers looking for fuel efficiency and city-friendly driving.
In the sedan category, the Honda Amaze, Hyundai Verna and more stand out, offering a balance of comfort, style, and performance for city and highway drives.
Assuming an on-road price of ₹12 lakh, the loan amount would be ₹10.2 lakh.
Sedans are often chosen for their ride comfort and more spacious cabins, making them suitable for daily commutes as well as family use.
Tata Nexon, Hyundai Creta, and Maruti Suzuki Grand Vitara can be top picks in the compact SUV segment, combining sporty looks with practicality and safety.
Let’s consider an average on-road price of ₹15 lakh, with a loan of ₹12.75 lakh.
This segment is a hot favourite in India due to high ground clearance, modern tech features, and SUV-like presence at an affordable price.
If you're looking for spacious interiors and power-packed features like the Mahindra XUV700, Toyota Innova Hycross, and Hyundai Tucson, here’s the approximate EMI.
Assuming an on-road price of ₹25 lakh, loan = ₹21.25 lakh
These vehicles come with advanced safety features, large cabins, and powerful engines, making them ideal for long-distance and family travel.
If you are looking at luxury models like the BMW X1, Audi Q3, etc., offer superior driving experience, here’s the calculation.
Assuming a vehicle priced at ₹45 lakh (on-road), the loan amount would be ₹38.25 lakh.
Luxury cars can offer prestige, performance, and cutting-edge technology. However, they come with a significant EMI outflow, making budgeting essential.
Also Read: EMI Planning: What Should Be Your EMI If You Earn ₹50,000 Per Month?
Car ownership in 2025 is not just about the upfront cost, it’s about long-term planning. Whether you choose a hatchback or a premium SUV, understanding your EMI, total interest outgo, and repayment commitment can help you make a smart decision.
Use an EMI calculator to customise the figures based on your preferred car model, interest rate, and loan tenure. Plan ahead to ensure your car loan doesn't strain your monthly budget while allowing you to enjoy the joy of driving your dream car.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Aug 5, 2025, 3:50 PM IST
Nikitha Devi
Nikitha is a content creator with 7+ years of experience in the financial domain. Specialising in personal finance, investments, and market insights, Nikitha simplifies complex financial topics, making them accessible to readers.
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