Car Loan Calculator
Your car financing breakdown
Estimated monthly payment
$470.89
- Amount financed
- $23,500
- Sales tax
- $1,500
- Total interest
- $4,754
- Total cost of the car
- $31,254
Know Your Payment Before the Dealership
Dealers like to talk about the monthly payment because it's easy to make look small by stretching the term. Work out the payment, total interest and total cost yourself first, then negotiate on the price of the car.
Try a shorter term to see how much interest you'd save, or a bigger down payment to see how far it brings the payment down.
Car Loan Terms
- APR
- Annual percentage rate: the yearly cost of borrowing, including interest and most lender fees.
- Amount financed
- What you borrow: the price plus tax and fees, minus your down payment and trade-in.
- Down payment
- Cash you pay up front. A bigger down payment means a smaller loan and less interest.
- Loan term
- How many months you have to repay. Longer terms lower the payment but raise the total interest.
- Negative equity
- Owing more on your current car than it's worth. Rolling it into a new loan makes the new loan bigger.
- Principal
- The part of each payment that pays down the loan itself, as opposed to interest.
Frequently Asked Questions About Car Loans
How is a car loan payment calculated?
The calculator uses the standard amortization formula: the amount financed, the monthly interest rate (APR divided by 12) and the number of months. Each payment covers that month's interest first, and the rest pays down the principal.
Is dealer financing or a bank loan better?
Get pre-approved by a bank or credit union before you shop. You'll know your rate, and you can ask the dealer to beat it. Dealer financing can win when the manufacturer offers a promotional rate.
How much car can I afford?
A common guideline is to keep your total car costs, including the payment, insurance and fuel, under about 15–20% of your take-home pay. Use the calculator to find the price that fits your budget.
What is a good interest rate for a car loan?
It depends mostly on your credit score, whether the car is new or used, and the loan term. Compare offers from a few lenders on the same day; rate shopping within a short window generally counts as one credit inquiry.
How can I pay off a car loan faster?
Make extra payments toward principal, round each payment up, or pay every two weeks instead of monthly. Check that your loan has no prepayment penalty first.
Does this calculator include fees?
It includes sales tax but not dealer documentation fees, registration or title fees, which vary by state. Add them to the car price for a closer estimate.
Found the car?
Your first report only $1
Before you sign the loan, check its title brands, salvage records, odometer readings and market value by VIN.
- Title Records
- Mileage
- Salvage
- Recalls
- Value
- Specs
No VIN handy? Try , or .
Then $30.00/month for up to 5 reports. Cancel online anytime.