Not all of us have to luxury of a hefty paycheck that can help an individual purchase whatever they desire without worrying about their balance. For those who do not have a large pile of cash to purchase a car, the car loan offered by Dena Bank is an important product that comes to the aid of a number of people. The Dena Vehicle Loan Scheme that is offered by Dena Bank is a pocket-friendly car loan that’s offered to the bank’s large customer base. Customers can avail the best possible deals which are offered on car loans depending on the make and model of the car. The interest rates which are offered by Dena Bank vary depending on market rates which is why it's offered as a floating interest rate.
How to use BankBazaar Dena Bank Car Loan EMI Calculator to understand your car loan repayment
The Car Loan EMI Calculator that’s available on the official website of BankBazaar can be used to calculate the Equated Monthly Installments EMI which would have to be paid after taking a car loan from Dena Bank. This is a simple calculator to use and is easy to understand and comprehend making it a very user-friendly tool. The Dena Bank Car Loan EMI Calculator also provides an amortization graph to make it easier for the user to visually analyze and understand their loan repayment procedure and timetable over the repayment tenure.
Dena Bank Car Loan EMI Calculator – How does it work?
The Dena Bank Car Loan EMI Calculator will require a few personal details to help with calculating the EMIs which you will have to pay. The personal details which are required are as follows:
- The customer can find the calculator on the BankBazaar website under the “Financial tools” section of the homepage.
- The customer has to provide the following details in order to get the accurate EMI result:
- Loan amount- The loan amount can be chosen by either moving the slider on the scale or by manually entering the amount in the space provided next to the loan amount scale.
- Tenure- The customer has to choose the tenure of the loan in this step using the same method as mentioned above.
- Rate of interest- The customer has to enter the rate of interest charged on the car loan by Dena Bank.
- Processing charges- The customer has to mention any processing fee charged on the loan by the bank.
- Prepayment charges- If the customer intends to make prepayments on their loan, they can use this section to enter the prepayment details before calculating the EMI.
- Once the customer fills in the parameters, they can calculate the EMI for the car loan by choosing the “Calculate” option.
- As soon as the customer clicks on the “Calculate” option, the calculator gives the EMI to be paid for the loan along with a detailed breakup of the loan.
Example: Let us now analyze the EMIs (for various tenures) on car loans using the BankBazaar Dena Bank Car Loan EMI Calculator. The interest rate currently offered by Dena Bank to general customers ranges between 9.15% and 9.30%. Let us consider the interest rate to be 9.20% and let us consider the processing fee to be 2% of the total loan amount which is non-refundable. The example below assumes that no pre-payments are made towards the loan.
|Loan amount (Rs.)||Interest rate||Processing fee||EMI for 2 years (Rs.)||EMI for 3 years (Rs.)||EMI for 4 years (Rs.)||EMI for 5 years (Rs.)||EMI for 6 years (Rs.)||EMI for 7 years (Rs.)|
*Interest rates are subject to change following the inclusion of GST from July 1, 2017.
Dena Bank Car Loan EMI Calculator – Features and Benefits
The Dena Bank Car Loan EMI Calculator is a very useful tool as it performs complicated calculations at the click of a button. Some of the key features of this tool include:
- The BankBazaar website is an interesting platform that has an interactive online EMI calculator with other related online tools that will make your financial management simple. These tools can be found on the page of the car loan EMI calculator.
- The customer does not have to pay to use the EMI calculator available on the BankBazaar website.
- It keeps users engaged with a pie chart and a bar diagram making it visually appealing.
- The customer can plan their repayment process methodically as they will be aware of their EMIs well in advance.
- This calculator can be used from anywhere as it is available online.
- You can comprehend your EMIs, principal amount, and outstanding interest skilfully with the help of interactive bar diagrams and pie charts.
Dena Bank Car Loan EMI Calculator FAQs
- What is the formula used to make EMI calculations?
- What information is required when making pre-payments using the BankBazaar Car Loan EMI Calculator?
EMI Is calculated using the following formula:
EMI = [P x R x (1+R) ^N] / [(1+R) ^N – 1],
Where, P is the principal amount, R is the interest rate on a monthly basis, and N is the number of installments.
This formula does not take into account the pre-payments that you make towards the loan.
The information that you will have to provide has been given below:
- How the prepayment applies
- Prepayment fee
- Prepayment amount
- Prepayment frequency
The EMI calculator eliminates the complications that come with calculating the EMI manually and it is definitely less time consuming.
No, you should always make sure to use the EMI calculator before you actually apply for a loan. This will help you ascertain your loan repayment ability and affordability.
You will need to enter your prepayment frequency, prepayment fee, prepayment amount, and what your prepayment applies to.