Petrol vs Diesel Cars – Which one should you opt for?


You are not alone in the pool of perplexed car buyers. Almost every car buyer goes through this. When you have a highly fuel-efficient engine on the one hand and a cheaper-to-buy car on the other, you are bound to be confused. And this is not just restricted to a new car purchase, but when you buy used cars too.

Let’s attempt to offer you some clarity then:

Factors to consider Petrol Diesel
Initial buying cost Whether new or used, petrol cars cost less than their diesel counterparts. Under Rs 10 lakh cars, the diesel cars are usually Rs 1 lakh to Rs 1.5 lakh more expensive than petrol ones.
NVH (Noise Vibration and Harshness) levels Budget-segment petrol cars are ahead in refinement than diesel cars. You can hardly tell the difference between premium diesel and petrol cars due to their high levels of refinement.
Fuel Cost The current price of petrol in Delhi for a liter is Rs 80.43. The cost has been consistently increasing for a while now. However, the line of difference between petrol and diesel has gradually blurred in 2020. The year 2020 has completely changed the dynamics of petrol vs diesel debates. The price of diesel, which was always lower, has not just caught up with petrol but at times has been more expensive at Rs 80.53 per liter in Delhi as on 8th July 2020.
Power Earlier, petrol cars tended to be more powerful. However, the mandatory BS6 upgrade from 1st April 2020 has changed the equation forever. BS6-complying diesel engines are now equally powerful and exciting as their petrol counterparts. However, in the used car market, the diesel car continues to trail behind petrol variants.
Fuel efficiency In general, petrol cars offer low fuel efficiency compared to diesel cars. Diesel cars were always mile munchers and continue to be so.
Service & maintenance The repairing and replacement of parts are cheaper with a petrol car. The cost of service and parts is higher in diesel cars.
Running costs If you drive for short distances daily, petrol cars should be a good option for you. The running cost of petrol would be lower compared to diesel if you would be using it for short distances and plan to own it for medium to long-term. It is only suited for those who drive more than 80-100 kilometers every day.
Resale value The resale value of petrol cars is comparatively lower. You can get a good deal with or without a second hand car loan in the used car market. Diesel cars tend to have a higher resale value, as people prefer it for high mileage. To offset the higher cost, you can opt for a used car loan when buying one in the used car market.


To sum up, your buying decision should consider the distance you plan to drive each day. If it is more than 80-100 kilometers every day, you should go for a diesel car or else a petrol car would be the ideal choice.

Whether you choose a petrol or a diesel car, Tata Capital offers you easy used car loan repayment options when you apply from one of the most trusted financial institutions in the industry.