Best car in 3 to 4 lakhs with Low Down Payment

Most car buyers always start with a pre-defined budget, like this query, which is seeking an exhaustive list of cars withing a budget of 3 to 4 lacs. Most car buyers also buy cars on finance, no wonder and thankfully the query also includes very pertinent questions on down payment and emi calculations.

I want to purchase a car and within a budget of 3-4 lakhs. What is the minimum down payment that I will have to make and which car is the best in this budget? Kindly let me know the EMI and the rate of interest as well.

Best car in 3 to 4 lakhs with Low Down Payment


Basis your budget (assuming it to be ex-showroom Delhi) you can choose from around 35 different cars. This set includes different car models and their variants. Following cars fall in your consideration set

Maruti Suzuki - Alto 800, Alto K10, WagonR, Estilo

Hyundai - Eon, Santro and i10

Tata Motors - Indica Ev2 and Xeta

Chevrolet - Spark

You may or may not get all the variants/versions of car models mentioned above. 

Eeco and Omni even though they fall within your price range, but being categorised under Utility Vehicle category, we have not included them in our explanation.

If we want more space, trustworthy cars with low maintenance cost and even though they have been around for some time, then our choice in order of priority would be Santro followed by WagonR. Tata Motors Indica Ev2 and Xeta. However, fit finish would be better in Santro and WagonR comparatively  

If you are looking for stylish cars - then in order of preference the list would be Eon, i10 Alto 800 Spark. However, we would like to avoid i10  and Spark as you will at most get mid level variant of these cars in your budget, which will not be as feature loaded as Eon and even Alto 800, as in case of both these cars.

If we are looking from CNG cars, then all the above cars (except Indica ev2) have a CNG kit provided or approved by the manufacturer, even though these kits are fitted at dealers level. The advantage of getting company approved CNG kit fitted in a car is that, in such cases manufacturer also provides the warranty for the kit and the car. Technologically all of them use sequential injection system, therefore they are all quite similar with tweaking done as per individual engines.

If you want lower assured service cost , currently Chevrolet Spark comes with a 3 year/45000 km service pack, this takes care of all cost that one has to incur as per company defined service schedule thus offering a great peace of mind.


At an overall level basis our preference, we will go with the EON as its a nice looking car, with decent space, driveability and mileage figures. Hyundai's service network and hopefully equivalent servicing cost to a Maruti car will be its plus points.

Normally most finance companies give a max of 85% of ex-showroom value of the car as a loan. Some finance companies also fund 85% on on-road cost less discounts that you avail on the car. Such high level of loans are normally provided by PSU banks. Down payment normally is a sum total of Insurance, mandatory taxes, and difference between amount financed and ex-showroom value of the car.

For various EMI calculations please visit : EMI Calculator
We at www.ecardlr.com suggest that one must define his/her need from a car as clearly as possible, take exhaustive test drive of cars that you plan to buy and then only decide. You must take our inputs as suggestion only and not as a final decision.