Car Loan Calculator
An auto loan payment depends on the amount financed after your down payment and trade-in, the APR, and the term in months. This calculator adds sales tax and shows the full cost of the vehicle.
Enter your figures below. Results update as you type.
Monthly payment$592.45
- Vehicle price 81%
- Sales tax 5%
- Loan interest 14%
- Amount financed
- $29,920.00
- Sales tax
- $1,920.00
- Total interest
- $5,627.11
- Total cost of the car
- $39,547.11
Total cost of the car
| Vehicle price | $32,000.00 | 80.9% |
|---|---|---|
| Sales tax | $1,920.00 | 4.9% |
| Loan interest | $5,627.11 | 14.2% |
- Total paid
- $39,547.11
- Pay-off date
- Nov 2031
Monthly vs. bi-weekly payments
Monthly
$592.45Payment each month
Nov 2031Pay-off date
$5,627.11Total interest
Bi-weekly
$296.23Payment every two weeks
Jun 2031Pay-off date
$5,045.46Total interest
Bi-weekly saves $581.65 in interest and ends the loan 5 mo sooner.
- Balance
- Interest paid
- Total paid
How the Car Loan calculation works
Amount financed = price + sales tax - down payment - trade-in
Sales tax here is charged on the price after the trade-in credit, which is how most US states treat it. A few states tax the full price; if yours does, enter the trade-in as part of the down payment instead.
Frequently asked questions
What is a good car loan term?
Sixty months or less keeps interest low and reduces the time you owe more than the car is worth. Terms of 72 to 84 months lower the payment but cost noticeably more overall.
How much should I put down on a car?
A common target is 20% on a new car and 10% on a used one, which offsets first-year depreciation.
How do I calculate a car loan payment?
Find the amount financed: price plus sales tax, minus your down payment and trade-in. Then apply the loan payment formula. A $32,000 car with 6% tax and $4,000 down leaves $29,920 to finance, which at 7% over 60 months is $592.45 a month.
How is interest on a car loan calculated?
Most auto loans charge simple interest on the remaining balance. Multiply the balance by the APR and divide by 12 for a month's interest: $29,920 at 7% is $174.53 in the first month. Paying early or paying extra reduces the interest that follows.
Can I refinance a car loan?
Yes. Refinancing replaces your loan with a new one, ideally at a lower rate. It tends to pay off when your credit has improved or rates have fallen, and when you owe less than the car is worth. Compare the total interest on both loans, not just the monthly payment.
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