Auto Loan Calculator
- Updated
- Formula shown
- Free, no sign-up
Results
Monthly payment of $642.55 for 60 months on $32,450 financed
| Term | Monthly payment | Total interest | Total of payments |
|---|---|---|---|
| 36 months | $1,001.96 | $3,621 | $36,071 |
| 48 months | $777.06 | $4,849 | $37,299 |
| 60 months (yours) | $642.55 | $6,103 | $38,553 |
| 72 months | $553.24 | $7,383 | $39,833 |
| 84 months | $489.76 | $8,690 | $41,140 |
How to use the auto loan calculator
- Enter the agreed price of the vehicle and your down payment.
- If you are trading in a car, enter what the dealer will give you for it and the amount you still owe on its loan.
- Enter your sales tax rate and any title, registration or documentation fees, then choose whether they go into the loan or are paid at signing.
- Enter the APR from your lender or the dealer and the term in months. The table compares other terms for the same amount.
Auto loan formula
Amount financed = price + tax + fees − down payment − (trade-in value − amount owed)
Monthly payment = A × r ÷ (1 − (1 + r)−n)
A is the amount financed, r is the APR divided by 12 and n is the number of months. Your trade-in equity is its value minus what you owe on it. Positive equity works like extra down payment. Negative equity, where you owe more than the car is worth, is added to the new loan. If you pay the tax and fees up front, they are left out of the amount financed.
Many US states tax only the price after the trade-in value is deducted, which can save hundreds of dollars. Others tax the full price. Choose the option that matches your state; your dealer or state revenue department can confirm it.
Worked example
You agree a price of $35,000, put $5,000 down and trade in a car worth $8,000 with $3,000 still owed. Sales tax of 7% on the $27,000 left after the trade-in comes to $1,890; fees are $1,000. Your trade-in equity is $5,000, so you finance $35,000 + $1,890 + $1,000 − $5,000 − $5,000 = $27,890.
At 7% APR for 60 months the payment is $552.26 a month and the interest totals $5,245. Counting price, tax, fees and interest, the car costs $43,135. If your state taxed the full price instead, the tax would be $2,450 and you would finance $28,450.
Monthly payment on $30,000 financed
| APR | 36 mo | 48 mo | 60 mo | 72 mo | 84 mo |
|---|---|---|---|---|---|
| 4% | $885.72 | $677.37 | $552.50 | $469.36 | $410.06 |
| 6% | $912.66 | $704.55 | $579.98 | $497.19 | $438.26 |
| 8% | $940.09 | $732.39 | $608.29 | $526.00 | $467.59 |
| 10% | $968.02 | $760.88 | $637.41 | $555.78 | $498.04 |
| 12% | $996.43 | $790.02 | $667.33 | $586.51 | $529.58 |
| 15% | $1,039.96 | $834.92 | $713.70 | $634.35 | $578.90 |
At 8%, stretching $30,000 from 48 to 84 months lowers the payment from $732.39 to $467.59, but the interest rises from $5,155 to $9,277.
Tips before you sign
- Get pre-approved. A rate from your bank or credit union gives you a figure to compare with the dealer's financing offer.
- Negotiate the price, not the payment. A dealer can hit almost any monthly figure by lengthening the term. Agree the price first, then the financing.
- Watch long terms. On a 72- or 84-month loan the balance can stay above the car's value for years, which makes the next trade-in harder.
- Count running costs. Insurance, fuel and maintenance come on top of the payment. For other vehicles, try the boat loan calculator or the general loan calculator.
Figures are estimates for planning. The lender's disclosure shows the exact amount financed, APR and payment.
Frequently asked questions
What is the monthly payment on a $30,000 car loan?
At 6% APR for 60 months it is $579.98 a month, with $4,799 of interest in total. At 8% the payment is $732.39 over 48 months or $467.59 over 84 months.
How does a trade-in lower the sales tax?
In states that tax only the price after the trade-in, the trade-in value is not taxed. With a $35,000 car, an $8,000 trade-in and 7% tax, you pay tax on $27,000 ($1,890) instead of $35,000 ($2,450), saving $560.
Should I roll the sales tax and fees into the loan?
It keeps more cash in your pocket today but you pay interest on them. Financing $2,890 of tax and fees at 7% for 60 months adds $57.23 to the monthly payment and $544 of interest.
What happens if I owe more on my trade-in than it is worth?
The difference, called negative equity, is added to the new loan. Rolling $3,000 of negative equity into a 60-month loan at 7% adds $59.40 a month and $564 of interest, and makes it more likely you will owe more than the new car is worth.
Is a 72- or 84-month car loan a good idea?
It lowers the payment but raises the total cost. $30,000 at 8% costs $5,155 in interest over 48 months, $7,872 over 72 months and $9,277 over 84 months. Long loans also leave you owing more than the car is worth for longer.