Auto Loan Calculator
Calculate your monthly car payment and total loan costs
Loan Details
Loan Summary
Payment Breakdown
Compare Loan Terms
| Term | Monthly Payment | Total Interest | Total Cost |
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How to Use This Auto Loan Calculator
Enter Vehicle Price
Input the total price of the vehicle before any trade-in, down payment, or fees. Check the sticker price or negotiate with the dealer.
Add Down Payment and Trade-in
Include your cash down payment and any trade-in value. Both reduce the amount you need to finance, lowering monthly payments.
Set Sales Tax Rate
Enter your local sales tax rate. This varies by state - for example, California is 7.25%, Texas 6.25%, Oregon 0% (no sales tax on vehicles).
Enter Interest Rate (APR)
Input the annual percentage rate from your lender. Check with banks, credit unions, and dealers. Rates typically range from 4% to 12% based on credit score.
Choose Loan Term
Select between 24 to 84 months. Shorter terms mean higher payments but less total interest. Compare options in the table below the calculator.
Understanding Auto Loan Costs
When financing a vehicle, understanding all costs helps you make smarter decisions. The comparison table shows how different loan terms affect your monthly payment and total interest paid.
The 20/4/10 Rule
Consider putting 20% down, financing for 4 years max, and keeping monthly payments under 10% of your gross income. This prevents being overextended.
New vs Used
New cars depreciate 20% in year one. A 3-year-old car often provides the best value - lower price, still reliable, slower depreciation rate.
Gap Insurance
If you finance more than the car's value (common with 72+ month terms), consider gap insurance to cover the difference if the car is totaled.
Credit Score Impact
Rate tiers: 760+ gets best rates, 720-759 good rates, 680-719 average rates, below 680 high rates. A 100-point difference can cost thousands over the loan.
Frequently Asked Questions
Should I take the dealer financing or bank financing?
Always compare. Dealer financing may offer promotional rates but often includes markup. Get pre-approved from your bank first to use as leverage and know your real rate ceiling.
What credit score do I need for an auto loan?
Minimum scores vary by lender, but 660+ typically gets approved. Higher scores (720+) get the best rates. Even with lower scores, there are subprime lenders available, though at higher rates.
Is it worth refinancing my auto loan?
Refinancing makes sense if you can lower your rate by 2%+ and have enough time remaining on the loan. Consider prepayment penalties and the total remaining interest before deciding.