Auto Loan Calculator
Estimate car loan payments, interest and total cost.
Taxes & fees
Principal vs total interest
Remaining balance over time
Compare two financing scenarios
Both scenarios finance $32,975.00 with the same taxes, fees and no extra payment. Only the rate and term differ.
| Scenario | Monthly | Total interest | Total cost | Payoff |
|---|---|---|---|---|
| A — 6.9% / 5y | $651.39 | $6,108.39 | $39,083.39 | 60 mo |
| B — 5.5% / 4y Cheaper | $766.88 | $3,835.35 | $36,810.35 | 48 mo |
Full amortization schedule
| # | Date | Payment | Principal | Interest | Balance |
|---|---|---|---|---|---|
| 1 | Oct 2026 | $651.39 | $461.78 | $189.61 | $32,513.22 |
| 2 | Nov 2026 | $651.39 | $464.44 | $186.95 | $32,048.78 |
| 3 | Dec 2026 | $651.39 | $467.11 | $184.28 | $31,581.67 |
| 4 | Jan 2027 | $651.39 | $469.80 | $181.59 | $31,111.87 |
| 5 | Feb 2027 | $651.39 | $472.50 | $178.89 | $30,639.38 |
| 6 | Mar 2027 | $651.39 | $475.21 | $176.18 | $30,164.16 |
| 7 | Apr 2027 | $651.39 | $477.95 | $173.44 | $29,686.22 |
| 8 | May 2027 | $651.39 | $480.69 | $170.70 | $29,205.52 |
| 9 | Jun 2027 | $651.39 | $483.46 | $167.93 | $28,722.06 |
| 10 | Jul 2027 | $651.39 | $486.24 | $165.15 | $28,235.83 |
| 11 | Aug 2027 | $651.39 | $489.03 | $162.36 | $27,746.79 |
| 12 | Sep 2027 | $651.39 | $491.85 | $159.54 | $27,254.95 |
| 13 | Oct 2027 | $651.39 | $494.67 | $156.72 | $26,760.27 |
| 14 | Nov 2027 | $651.39 | $497.52 | $153.87 | $26,262.75 |
| 15 | Dec 2027 | $651.39 | $500.38 | $151.01 | $25,762.38 |
| 16 | Jan 2028 | $651.39 | $503.26 | $148.13 | $25,259.12 |
| 17 | Feb 2028 | $651.39 | $506.15 | $145.24 | $24,752.97 |
| 18 | Mar 2028 | $651.39 | $509.06 | $142.33 | $24,243.91 |
| 19 | Apr 2028 | $651.39 | $511.99 | $139.40 | $23,731.92 |
| 20 | May 2028 | $651.39 | $514.93 | $136.46 | $23,216.99 |
| 21 | Jun 2028 | $651.39 | $517.89 | $133.50 | $22,699.10 |
| 22 | Jul 2028 | $651.39 | $520.87 | $130.52 | $22,178.23 |
| 23 | Aug 2028 | $651.39 | $523.87 | $127.52 | $21,654.36 |
| 24 | Sep 2028 | $651.39 | $526.88 | $124.51 | $21,127.49 |
Yearly breakdown
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $5,720.05 | $2,096.63 | $27,254.95 |
| 2 | $6,127.46 | $1,689.22 | $21,127.49 |
| 3 | $6,563.89 | $1,252.79 | $14,563.60 |
| 4 | $7,031.40 | $785.28 | $7,532.20 |
| 5 | $7,532.20 | $284.48 | $0.00 |
| Total | $32,975.00 | $6,108.39 | $0.00 |
Complete guide to auto loans
How auto loans work
You borrow the vehicle price minus your down payment and trade-in, then repay in fixed monthly installments made up of principal and interest calculated on the remaining balance.
Understanding APR
APR bundles the interest rate with mandatory fees, giving the true annual cost. Compare APRs — not just rates — across lenders.
Down payment tips
Aim for at least 20% down on new cars and 10% on used to avoid being underwater as the vehicle depreciates.
Choosing the right loan term
Shorter terms (36–48 months) cost less in interest but raise the monthly payment. Long 72–84 month loans keep payments low but often outlast the car's warranty.
New vs used
New cars depreciate 20% in year one; used cars carry a lower ticket price and lower total interest, but often at slightly higher APRs.
Common financing mistakes
Ignoring APR, rolling negative equity into a new loan, focusing only on the monthly payment, skipping the pre-approval, or accepting the dealer's first offer.
Frequently asked questions
What credit score do I need for a car loan?
670+ usually gets prime rates; 740+ gets the best. Subprime borrowers can still qualify but at 12–20%+ APR.
Should I get pre-approved?
Yes. Bank or credit-union pre-approval sets a ceiling and gives you negotiating leverage at the dealer.
Is a longer term ever a good idea?
Only if the low payment is essential and you plan to keep the vehicle for the full term.
Can I refinance later?
Yes — refinancing is common once your credit improves or rates drop.
What is negative equity?
Owing more on the loan than the car is worth, usually caused by low down payments or long terms.
Should I pay off the loan early?
If there's no prepayment penalty, yes — every extra dollar goes straight to principal.
Are dealer add-ons worth it?
Rarely. Extended warranties and gap insurance are cheaper from third parties.
How is my monthly payment calculated?
Amortization: monthly interest = balance × APR/12; the rest of the payment reduces principal.
What is gap insurance?
Coverage that pays the difference between the car's value and the loan balance if it's totaled.
Does a trade-in reduce sales tax?
In most states, yes — sales tax is calculated on price minus trade-in.
Should I finance through the dealer or a bank?
Get quotes from both. Dealers sometimes match or beat bank offers via manufacturer incentives.
What is a lease vs a loan?
Leasing rents the depreciation; a loan buys the car. Leases have lower payments but no equity.