Home

>

Personal Loan

>

New Cars Under Rs. 5 Lakhs

What are the Best Cars Under ₹5 Lakh in India

Apply Online

1 Sep 2025

Looking for a fuel-efficient, budget-friendly four-wheeler? Your search ends here. We have for you a comprehensive list of 10 cars under ₹5 Lakh.

List of Four-Wheelers Under ₹5 Lakh in India [2025 Updated]

A small car can be budget-friendly - both while buying it and while maintaining it over the long run. If your family is small, a small car can be a great idea for you.

Here is a list of the top 10 cars under ₹5 Lakh -

Car Model	Average Ex-Showroom Price	Fuel Type	ARAI-certified mileage ranges	Seating Capacity	Key Highlights
Maruti Suzuki Alto K10	Starting from ₹4.23 Lakh	Petrol / CNG	24.90 kmpl	5	Affordable, excellent mileage, easy city drive
Maruti S-Presso	Starting from ₹4.26 Lakh	Petrol / CNG	24.12 to 25.3 kmpl	5	High ground clearance, SUV-inspired design
Renault KWID	Starting from ₹4.69 Lakh	Petrol	21.7 to 22.3 kmpl	5	Modern design, touchscreen infotainment
Tata Tiago	Starting from ₹4.99 Lakh	Petrol / CNG	19 kmpl	5	Strong safety rating, solid build quality
Bajaj Qute	Starting from ₹3.61 Lakh	Petrol / CNG	35 to 43 kmpl	4	Quadricycle, ultra-high mileage, city-friendly
Vayve Eva (EV)	Starting from ₹3.25 Lakh (expected)	Electric	250 km/charge (claimed)	2 adults and 1 child	Compact electric city car, affordable EV
Storm Motors R3	Starting from ₹4.50 Lakh	Electric	200 km/charge (claimed)	2	Hatchback, 3-wheeler, 7-inch infotainment touchscreen, voice and gesture commands, and GPS navigation.
PMV EaS E	Starting from ₹4 Lakh (expected)	Electric	160 km/charge (claimed)	2	11 colour options available Pre-booking

Cars Between ₹3 to ₹5 Lakh in India

You have a wide range of cars, including some electric cars, to choose from in this price range. Please note that the prices are mentioned according to ex-showroom prices in New Delhi, and might slightly vary in your city.

Let us look at each of these cars under ₹5 Lakh and their specifications -

1. Maruti Suzuki Alto K10

Looking for a comfortable 5-seater car under ₹5 Lakh? The Maruti Suzuki Alto K10 is one of the best options for you in this range. Let’s look at some of its major specifications -

Criteria	Specifications
Tank Capacity	27 Litre
Price	Starts from ₹4.23 Lakh
Mileage	24.90 kmpl (as mentioned on the official website)
Engine Capacity	998 cc
Engine Type	K10C
Gears	5 speeds
Other Pointers	Available in 7 colours Available in both Petrol and CNG variants, with the CNG variant priced slightly higher than the Petrol one It offers effortless city driving for small families Has 6 airbags and reverse parking sensors

2. Maruti S-Presso

Another model from Maruti Suzuki is the Maruti S-Presso. It is marketed as a mini-SUV and Reddit reviews say it is great for city travels. However, the engine and specifications are very similar to the Alto K10.

Here is some more information about the Maruti S-Presso -

Criteria	Specifications
Tank Capacity	27 Litre
Price	Starts from ₹4.26 Lakh
Mileage	24.12 to 25.30 kmpl
Engine Capacity	998cc
Engine Type	K10C
Gears	5 speeds
Other Pointers	Available in 7 colours Available in both Petrol and CNG variants, with the CNG variant priced slightly higher than the Petrol one SUV-inspired design 4 to 5 seater

3. Renault KWID

The Renault KWID is one of the higher-range cars in this budget, but it can still be considered if you are looking for a four-wheeler under ₹5 Lakh. Other major specifications of this car are -

Criteria	Specifications
Tank Capacity	28 Litre
Price	Starts from ₹4.69 Lakh
Mileage	21.7 to 22.3 kmpl
Engine Capacity	990 cc
Engine Type	0.8 SCe
Gears	5 speeds
Other Pointers	Has over 15 safety features Available in 10 colour variants Available in only the Petrol variant Great for city driving 5 seater car, great for small families

4. Tata Tiago

The TATA Tiago is also a high-end car in this budget, but has many variants helping you customise your ride!

Users of this car on Reddit are happy with both its Petrol and CNG performance and say that the car is easy to manoeuvre in the city. It is also easy to maintain and has good service. Here are some more specifications of this car -

Criteria	Specifications
Tank Capacity	35 Litre
Price	Starts from ₹4.99 Lakh
Mileage	19 kmpl
Engine Capacity	1199 cc
Engine Type	1.2L Revotron Engine
Gears	5 speeds
Other Pointers	Available in both CNG and Petrol variants Available in 6 colours and a total of 17 variants Hood design, LED headlamps, dual-tone roof, shark fin antenna HD reverse parking digital camera Effortless switching between CNG and Petrol modes

5. Bajaj Qute (RE60)

The Bajaj Qute (RE60) is a compact 4-seater vehicle perfect for daily commuting. It’s marketed as a 4-wheeler taxi that has all weather protection, is easy to drive in traffic, and has a decent storage space.

Let’s go through the major specifications of the Bajaj Qute -

Criteria	Specifications
Tank Capacity	20.6 Litre
Price	Starts from ₹3.61 Lakh
Mileage	35 to 43 kmpl
Engine Capacity	216.6cc
Engine Type	DTSi engine
Gears	5 speeds
Other Pointers	3 colour options CNG and Diesel variants available

6. Vayve Eva (EV)

The Vayve Eva Electric Vehicle is surely the car for the modern person! You can harness about 3000km of sun-powered driving every year, making it an economical choice.

From the price point, this is one of the most pocket-friendly options among the available EVs on this list. Let’s look at the specifications of this 2-seater car -

Criteria	Specifications
Full Charge in	5 hours
Price	Starts from ₹3.25 Lakh (expected)
Range	250 km/charge (claimed)
Battery Capacity	18kWh
Battery Type	LFP
Gears	1 speed
Other Pointers	2 adults and 1 child Good dafety features like central locking, airbag, day and night rear view mirrors, etc. Solar integration option, panoramic glass roof, and dual shock rear suspension

7. Strom Motors R3

The Storm Motos R3 is an electric 2-seater vehicle. It's a hatchback that runs on only 3 wheels. So it’s technically not a 4-wheeler, but it is still included in the list as it is a strong competitor.

This can also be great as a second vehicle to run errands or to use for yourself! Here are its specifications -

Criteria	Specifications
Full Charge in	3 hours
Price	Starts from ₹4.50 Lakh
Range	200km/charge (claimed)
Battery Capacity	30kWh
Battery Type	Lithium ion
Gears	1 speed
Other Pointers	4 colour variants available Keyless entry Power windows Digital driver’s display Voice and gesture commands Climate control

8. PMV EaS-E

The PMV EaS-E is another option for an EV under ₹5 Lakh. It is a 2-seater vehicle perfect for your daily intracity commutes. But if you have a big family, this might not be the perfect choice.

Some major characteristics of this vehicle are -

Criteria	Specifications
Full Charge in	4 hours
Price	Starts from ₹4 Lakh (expected)
Range	160 km/charge (claimed)
Battery Capacity	10kWh
Battery Type	Lithium ion
Gears	1 speed
Other Pointers	Available for pre-booking 11 colour options available

Need Urgent Funds?

Flexible Terms, No Hidden Fees, Easy Approvals

Apply Now

How to Apply for a Loan for Buying a Car?

You can fund your new car with a vehicle loan easily. Car loans are easily available in all banks and your car dealer can also help you get it. However, in case you need extra funds for the downpayment or other purposes, you can opt for a personal loan through Moneyview. Here is the simple four step process to get a personal loan through the Moneyview digital lending app -

1
Check Eligibility
Provide a few basic details to check your eligibility in just 2 mins!
2
Select Loan Tenure
Choose your loan amount & repayment tenure
3
Upload Documents
Complete your KYC and Verify income
4
Amount Disbursed
Direct Bank A/c transfer in a few minutes!

Features and Benefits of Personal Loans through Moneyview

Attractive Loan Amount

Get loans from Rs.5,000 to Rs.10 Lakh based on your eligibility

Collateral Free Loans

You can get a personal loan through Moneyview without having to vow any asset or arrange for a guarantor

Fast Disbursal

The loan amount is disbursed to your bank account within 24 hours of approval

Affordable Interest Rates

Interest rates starting from just 14% per annum

Eligibility Criteria and Documents Required

If you are considering taking a loan through the Moneyview app, don’t worry. The eligibility criteria for applying for a personal loan from Moneyview are very inclusive:

Your age must be between 21 and 57
If you are salaried or self-employed, your minimum in-hand income must be ₹25,000
You should have a minimum CIBIL score of 650

You just need three documents to apply for a loan through Moneyview -

Identity Proof
Address Proof
Income Proof

Need Quick Cash?

Get Your Loan Now

Conclusion

There are many cars to choose from if you are looking for a four wheeler under ₹5 Lakh in India. You can also get electric vehicles in this budget which are environment friendly and good for regular commutes inside the city.

Most cars in this budget are 4 or 5 seater petrol or CNG run cars which are a great choice for small and medium-sized families. You can go through the specifications and opt for test drives before you choose your four-wheeled road companion.

Getting a loan for a new car under ₹5 Lakh is easy from any bank, as most banks have vehicle loans. But if you are hesitant about taking a vehicle loan or cannot get a loan from a bank, you can opt for an instant personal loan from Moneyview.

To know more, you can visit our website or download the Moneyview app.

Personal Loan Based on Your Budget

Personal Loan Based on Your Purpose

Personal Loan in Your City

Best Cars Under ₹5 Lakh in India - Related FAQs

Which is the cheapest model of car?

Right now, the Vayve Eva Electric Vehicle is the cheapest model of car in India starting from ₹3.25 Lakh.

Which car is best to buy second hand or new?

Secondhand cars will obviously be more affordable than new cars. It is, however, easier to get a loan for a new vehicle. Depending on your budget and requirements, you can choose if you should buy a secondhand or a new car, as both are viable options.

Is it a good time to buy a car in India?

The end of the year, from October to December, is a good time to purchase a new car. Most of the car showrooms have good offers around this time as they want to clear the old stocks.