Car Loan Calculator
See what a car really costs each month — and over the whole loan — before you sign.
How to use
- Enter the full vehicle price, including any options you plan to finance.
- Enter your down payment and any trade-in value you are putting toward the car.
- Enter the annual percentage rate (APR) offered by the lender and the term in months.
- Press Calculate to see your monthly payment, total interest, and total cost.
A shorter term usually means a higher monthly payment but less total interest. A larger down payment lowers the amount you borrow, which lowers both the payment and the interest. Compare offers by total cost, not by monthly payment alone — a low payment stretched over many extra months can cost more overall.
Worked example
Vehicle price: $30,000. Down payment: $5,000, so the amount financed is $25,000. APR: 6.5%. Term: 60 months.
Result: monthly payment $489.15, total interest $4,349.22, total cost $29,349.22 (loan payments plus the $5,000 down payment bring the all-in cost to $34,349.22). The calculation uses the standard amortizing-loan formula with monthly compounding.
Frequently Asked Questions
What is the difference between APR and interest rate?
The interest rate is the cost of borrowing the money itself. APR is broader: it includes the interest rate plus most lender fees, expressed as a yearly rate. Comparing APRs usually gives a fairer comparison between two loan offers.
Does a longer loan term save money?
It lowers the monthly payment, but it almost always raises total interest because you borrow for longer. If you can afford the shorter-term payment, it usually costs less overall.
Should I put a bigger down payment on a car?
A bigger down payment reduces the amount financed, the monthly payment, and the interest paid. It can also protect you from owing more than the car is worth if its value falls quickly in the first years.
Does this calculator include taxes and dealer fees?
No. It calculates the loan itself. Sales tax, registration, and dealer fees vary by state and dealer, so add them to the price or down payment figures if you want them reflected in the estimate.
Why is my lender's quote slightly different?
Lenders may round differently, charge fees, or use a different first-payment date. Small differences in timing and fees can shift the payment by a few dollars.
Related
Credit Card Payoff Calculator
Pick a fixed monthly payment and see exactly when your card balance hits zero.
🏖️Retirement Savings Calculator
Check whether your current savings habit puts you where you want to be at retirement.
📈Investment Return Calculator
See how a lump sum plus steady contributions could grow — and how the return rate changes the outcome.