Car Loan Calculator — Pakistan
Calculate your monthly car finance installment in PKR — conventional auto finance or Islamic Ijarah. Current SBP-linked rates, tenure and down-payment rules. No signup.
Current Pakistan auto finance rates (April 2026)
| Type | Typical rate (p.a.) | Notes |
|---|---|---|
| Conventional auto finance | 16% – 19% | SBP policy ≈11% + bank markup |
| Islamic Ijarah (lease) | 16% – 19% effective | Shariah-compliant, fixed rental |
| Max tenure | up to 7 years | SBP cap |
The SBP policy rate is around 11%; auto finance sits 4–6% above that. The SBP also sets tenure and down-payment limits, which differ for locally assembled vs imported vehicles.
Major Pakistan auto finance providers
- Meezan Bank — Car Ijarah, the largest Islamic auto lease
- HBL — HBL CarLoan, conventional financing
- Bank Alfalah — conventional and Islamic options
- UBL — UBL Drive auto financing
- Al Baraka / BankIslami — Islamic Ijarah alternatives
The real cost of a PKR 4,000,000 car
Example: PKR 4,000,000 car, 30% down (PKR 1,200,000), financing PKR 2,800,000 at 17% for 5 years.
- Monthly installment: ≈ PKR 69,580
- Total paid on the financed amount: ≈ PKR 4.17 million
- Total markup / interest: ≈ PKR 1.37 million
- Effective price (car + markup): ≈ PKR 5.37 million vs PKR 4.0M sticker.
Tip: A bigger down payment or shorter tenure noticeably reduces total markup. Compare conventional vs Ijarah on effective cost, not just the label.
Frequently Asked Questions
What is the current car finance rate?
Roughly 16%–19% p.a. (April 2026): SBP policy ≈11% plus bank markup.
What are the SBP rules?
Max 7-year tenure plus down-payment and financing limits that differ for local vs imported cars.
Conventional vs Ijarah?
Conventional charges interest; Ijarah is a lease with a fixed monthly rental and no riba. Meezan and Al Baraka are common.
How much down payment?
Commonly 20–30% of the price; more down means a lower installment and less total markup.