From Ignis to Amaze: 5 best budget cars you can plan if you earn ₹50,000 monthly
Looking for a car that fits your ₹50,000 monthly budget? Check out these top 5 affordable options under ₹8 lakh with detailed EMI and down payment plans.
Buying a new car on the average urban income is all about balancing one’s aspirations with a sense of practicality. For someone earning around ₹50,000 per month, planning a purchase under ₹8 lakh (ex-showroom) can be financially manageable with careful budgeting and the right loan strategy. Most entry-level hatchbacks and compact models today offer a good bang for your buck while ensuring lower running costs and easy financing options that make ownership realistic for first-time buyers.
Check Offers Model-wise pricing and EMIs compared
| Parameter ↓ \ Car → | Maruti Ignis | Renault Kiger | Tata Altroz | Hyundai i20 | Honda Amaze |
|---|---|---|---|---|---|
| On-Road Price ( ₹) | 5,89,000 | 6,75,000 | 7,21,000 | 7,83,000 | 8,37,000 |
| Down Payment (30%) | 1,76,700 | 2,02,500 | 2,16,300 | 2,34,900 | 2,51,100 |
| Loan Amount | 4,12,300 | 4,72,500 | 5,04,700 | 5,47,800 | 5,86,200 |
| EMI | 8,530 | 9,747 | 10,420 | 11,330 | 12,120 |
| Interest Paid | 98,500 | 1,11,320 | 1,20,500 | 1,32,000 | 1,41,000 |
| Total Payable | 5,10,800 | 5,83,820 | 6,25,200 | 6,79,800 | 7,27,200 |
But the market has a plethora of cars under the ₹8 lakh mark, and to understand which options fit comfortably within reach, one needs to take a good look at their finances and get an idea of the range of down payment that is possible. The average down payment for car loans ranges from 10-20% of the on-road price, but we suggest putting down at least 30% to ensure a lower EMI, thereby leaving you with headroom for running costs.
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Maruti Suzuki Ignis
₹ 5.85 - 8.26 Lakhs
Offers Expiring soon
Renault Triber
₹ 5.76 - 8.6 Lakhs
Offers Expiring soon
Renault Kiger
₹ 5.76 - 10.34 Lakhs
Offers Expiring soon
Tata Altroz
₹ 6.89 - 11.49 Lakhs
Offers Expiring soon
Tata Altroz Racer
₹ 9.49 - 10.99 Lakhs
Offers Expiring soon
Hyundai i20
₹ 7.04 - 11.35 Lakhs
Offers Expiring soon
To better illustrate the difference in these financing scenarios, we have brought together a list of five cars that fit within the reach of someone earning around ₹50,000 per month and calculated the respective EMI and total interest based on two different down payment options:
Maruti Suzuki Ignis:
| Down Payment Scenario | Down Payment ( ₹) | Loan Amount ( ₹) | EMI ( ₹/month) | Total Interest Paid ( ₹) | Total Amount Payable ( ₹) |
|---|---|---|---|---|---|
| 10% | 63,500 | 5,71,500 | 11,775 | 1,35,000 | 7,06,500 |
| 30% | 1,90,500 | 4,44,500 | 9,145 | 1,04,200 | 5,48,700 |
Among the most affordable premium hatchbacks in the country, the Maruti Suzuki Ignis offers a practical entry point into car ownership. With an on-road price of around ₹6.35 lakh, the Ignis is manageable for someone earning ₹50,000 per month, provided the loan and EMI are planned prudently.
With a 10% down payment, the monthly EMI of nearly ₹11,800 would consume close to a quarter of a ₹50,000 salary, leaving limited flexibility for running costs and savings. The 30% option requires a higher initial contribution, but brings the EMI down to just over ₹9,000, easing long-term financial pressure and reducing interest outgo by around ₹30,000.
Renault Kiger:
| Down Payment Scenario → | Down Payment ( ₹) | Loan Amount ( ₹) | EMI ( ₹/month) | Total Interest Paid ( ₹) | Total Amount Payable ( ₹) |
|---|---|---|---|---|---|
| 10% | 67,500 | 6,07,500 | 12,519 | 1,43,640 | 7,51,140 |
| 30% | 2,02,500 | 4,72,500 | 9,747 | 1,11,320 | 5,83,820 |
The Renault Kiger positions itself as a stylish compact SUV that remains accessible for buyers across the country. With an on-road price of ₹6.75 lakh, careful financing can make ownership feasible without overstretching monthly budgets.
Opting for the minimum 10% down payment pushes the EMI above ₹12,500. The 30% down payment reduces the EMI to under ₹10,000 and trims total interest by over ₹30,000, offering a more sustainable repayment plan.
Tata Altroz:
| Down Payment Scenario → | Down Payment ( ₹) | Loan Amount ( ₹) | EMI ( ₹/month) | Total Interest Paid ( ₹) | Total Amount Payable ( ₹) |
|---|---|---|---|---|---|
| 10% | 72,100 | 6,48,900 | 13,400 | 1,55,100 | 8,04,000 |
| 30% | 2,16,300 | 5,04,700 | 10,420 | 1,20,500 | 6,25,200 |
The Tata Altroz is a premium hatchback that combines a sporty design with the performance to back it up, making it an appealing choice for someone earning ₹50,000 per month. With an on-road price of ₹7.21 lakh, careful planning can keep ownership manageable.
A minimum down payment of 10% results in a monthly EMI that exceeds ₹13,000, which can place considerable financial strain when combined with running costs. Increasing the down payment to 30% lowers the EMI to around ₹10,400 and reduces total interest paid by over ₹34,000.
(Also read: 5 most affordable cars with DCT in India – Tata Altroz, Nexon, Kia Sonet & More)
Hyundai i20:
| Down Payment Scenario | Down Payment ( ₹) | Loan Amount ( ₹) | EMI ( ₹/month) | Total Interest Paid ( ₹) | Total Amount Payable ( ₹) |
|---|---|---|---|---|---|
| 10% | 78,300 | 7,04,700 | 14,570 | 1,69,500 | 8,74,200 |
| 30% | 2,34,900 | 5,47,800 | 11,330 | 1,32,000 | 6,79,800 |
The Hyundai i20 remains one of the most popular premium hatchbacks in India, with a great set of features and brand appeal. With a minimum down payment of 10% on the on-road price of ₹7.83 lakh, the EMI crosses ₹14,500, consuming nearly 30% of our monthly income. The 30% down payment scenario, while requiring a larger upfront sum of around ₹2.35 lakh, reduces the EMI to just over ₹11,300 and lowers total interest by more than ₹37,000.
Honda Amaze:
| Down Payment Scenario → | Down Payment ( ₹) | Loan Amount ( ₹) | EMI ( ₹/month) | Total Interest Paid ( ₹) | Total Amount Payable ( ₹) |
|---|---|---|---|---|---|
| 10% | 83,700 | 7,53,300 | 15,580 | 1,81,500 | 9,34,800 |
| 30% | 2,51,100 | 5,86,200 | 12,120 | 1,41,000 | 7,27,200 |
The Honda Amaze continues to be a preferred compact sedan for urban buyers seeking comfort and refinement. With an on-road price of ₹8.37 lakh, the 10% down payment results in an EMI of over ₹15,500, which takes up nearly one-third of monthly earnings. Choosing a 30% down payment reduces the EMI to just above ₹12,100 and cuts total interest by over ₹40,000.
Now let's see how these 5 stack up in terms of prices and financing:
