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Tata Capital > Blog > Loan for Vehicle > Diesel or Petrol – Which Car is Right for You?

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Diesel or Petrol – Which Car is Right for You?

Diesel or Petrol – Which Car is Right for You?

Fuel is the lifeblood on which your car runs, and there are some striking differences between diesel and petrol cars that you need to be aware of. 


Compared to a petrol car, the maintenance cost of a diesel car tends to be more over the lifetime of the vehicle. This is because spare parts of a diesel engine are more expensive and the engine itself is more susceptible to wear and tear.


Diesel cars are more expensive than the petrol variant of the same car. However, they are known to last longer and depreciate slower, so the extra price may seem somewhat justified.

Insurance Cost

The parts of a diesel vehicle are more expensive, and a diesel car itself is much costlier than a petrol car. As a result, the insurance cost of a diesel car tends to be around 10-15% higher than its petrol counterpart.


In terms of overall refinement, petrol engine outscores over a diesel engine. The noise, vibration and harshness level in diesel cars are higher. However, high-end diesel cars are almost as soundless as petrol cars.


Diesel cars give much better mileage than petrol cars. Therefore, for people who travel long distances on a daily basis, the diesel car is a more cost-effective option. With a price lower than petrol, diesel is cheaper in terms of mileage and per liter price.


Diesel cars release particulate matters while petrol cars release almost none. Diesel cars are therefore not environment-friendly, compared to petrol cars. 


Another important point is the resale value of a car. People nowadays prefer going in for used cars and the second hand cars market has really opened up. Diesel used cars are known to have a superior resale value. As a result, it can be expensive to buy second hand cars of a diesel variant. However, price is not a problem due to the easy availability of used car loans available today. 

A second hand car loan is a popular loan product and you can have various options for arranging used car finance. Tata Capital offers used car loan in India with attractive rates and flexible tenure and repayment terms.