How this calculation works
Compare the upfront cash and instalments involved in buying a motorcycle or scooter. The amount financed is the on-road price less down payment, while the purchase-outflow result adds the down payment back to the loan repayment and processing fee. This makes a low EMI easier to interpret alongside the cash needed at purchase and the total amount paid.
Worked example
This example uses illustrative inputs. Your current result is shown above.
For a ₹1,20,000 two-wheeler, ₹30,000 down payment, 12% annual reducing-balance interest, one-year tenure and ₹1,500 fee, principal is ₹90,000 and EMI ₹7,996.39. Total loan repayment including fee is ₹97,456.69. Add the down payment for ₹1,27,456.69 complete purchase outflow; 75% of the price is financed.
Assumptions and limits
- Use the actual on-road amount being purchased; recurring renewal insurance, fuel and servicing are not projected.
- The fee is separate from principal, and no final balloon, exchange value or extra payment is included.
Questions people ask
Why does purchase outflow exceed total loan repayment?
Purchase outflow also includes the down payment, which is your cash contribution rather than repayment of borrowed money.
Should I include the old vehicle’s exchange value?
If it reduces the cash price or loan need, account for it consistently in the agreed price or down payment. The calculator has no separate resale or exchange valuation.