Auto Loan Calculator
A car loan, vehicle finance and car repayment calculator: monthly payment, total interest, trade-in and term comparison.
Monthly Payment
$586.98
| Term | Monthly | Total Interest | Total Cost |
|---|---|---|---|
| 24 mo | $1,336.39 | $2,073.30 | $32,073.30 |
| 36 mo | $919.47 | $3,100.92 | $33,100.92 |
| 48 mo | $711.45 | $4,149.53 | $34,149.53 |
| 60 moselected | $586.98 | $5,219.07 | $35,219.07 |
| 72 mo | $504.30 | $6,309.45 | $36,309.45 |
| 84 mo | $445.48 | $7,420.58 | $37,420.58 |
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What's a Good Interest Rate for a Car Loan?
Auto loan rates depend heavily on your credit score and the loan term. Experian publishes average rates by credit tier in its State of the Automotive Finance Market report. The latest quarter is Q2 2026:
| Credit tier | Score range | New car APR | Used car APR |
|---|---|---|---|
| Super prime | 781 or above | 4.41% | 6.29% |
| Prime | 661 to 780 | 6.15% | 8.81% |
| Near prime | 601 to 660 | 9.71% | 13.93% |
| Subprime | 501 to 600 | 13.52% | 19.10% |
| Deep subprime | 300 to 500 | 16.11% | 21.62% |
Source: Experian, State of the Automotive Finance Market, Q2 2026 (scores are VantageScore 4.0; Experian's summary is dated September 10, 2026). Figures are averages as of Q2 2026, not rate offers, and are not updated automatically.
Your rate will depend on your lender, the vehicle, the loan term and your own credit file. Getting a pre-approval before you visit a dealer gives you a rate to compare against the one you are offered.
How Loan Term Affects Total Cost
On a $35,000 vehicle at 6.5% interest:
| Term | Monthly Payment | Total Interest | Total Cost |
|---|---|---|---|
| 36 months | $1,073 | $3,618 | $38,618 |
| 48 months | $830 | $4,841 | $39,841 |
| 60 months | $685 | $6,089 | $41,089 |
| 72 months | $588 | $7,361 | $42,361 |
Choosing 72 months instead of 36 cuts your payment by $484/month but costs $3,743 more in interest. More importantly, long-term loans increase the risk of being "underwater" — owing more than the car is worth as it depreciates.
The Case for a Down Payment
Making a down payment reduces your loan amount, which means lower monthly payments and less total interest. It also cushions depreciation: Kelley Blue Book says new cars often lose 20% or more of their value in the first year (Kelley Blue Book, “How to Beat Car Depreciation”, published July 24, 2025). With no down payment, you may owe more than the car is worth early in the loan.
If you finance a trade-in, count only the equity you are actually receiving: the trade-in value minus anything you still owe on it.
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Car payment by price and loan term
Monthly payment, with total interest underneath, at an example 6.5% APR and no down payment or trade-in. Your rate and amount borrowed will differ, so use the calculator above for your own numbers.
Car payment by price and loan term at 6.5% APR (clevr.tools)
| Amount borrowed | 36 months | 48 months | 60 months | 72 months |
|---|---|---|---|---|
| $20,000 | $613/mo$2,067 interest | $474/mo$2,766 interest | $391/mo$3,479 interest | $336/mo$4,206 interest |
| $30,000 | $919/mo$3,101 interest | $711/mo$4,150 interest | $587/mo$5,219 interest | $504/mo$6,309 interest |
| $40,000 | $1,226/mo$4,135 interest | $949/mo$5,533 interest | $783/mo$6,959 interest | $672/mo$8,413 interest |
Moving from 36 to 72 months on a $30,000 loan lowers the payment by $415 a month but adds $3,209 in interest.
How a trade-in and down payment change the loan
Your down payment and your trade-in both come off the price before the loan is calculated. The calculator subtracts them from the vehicle price and finances the rest, so each dollar you put in is a dollar you do not pay interest on.
Example: a $30,000 car financed for 60 months at 6.5%. With nothing down the payment is $587 a month and the interest is $5,219. Put $3,000 down and trade in a car worth $5,000, and you borrow $22,000: the payment drops to $430 and the interest to $3,827.
If you owe more on your current car than it is worth (negative equity), the shortfall usually gets added to the new loan, which raises the amount you borrow. Sales tax and fees are treated differently from state to state, so add them to the price if your dealer finances them. For help deciding how much to save first, try the down payment calculator.
Car payment quick reference
Monthly payment and total interest on the amount financed (price minus down payment), for five common combinations. Each row is calculated with the same formula as the calculator above.
| Car price | Down payment | Rate | Term | Monthly payment | Total interest |
|---|---|---|---|---|---|
| $20,000 | $4,000 (20%) | 5.5% | 48 mo | $372 | $1,861 |
| $28,000 | $3,000 (11%) | 6.0% | 60 mo | $483 | $3,999 |
| $35,000 | $7,000 (20%) | 6.5% | 60 mo | $548 | $4,871 |
| $35,000 | $5,000 (14%) | 7.0% | 72 mo | $511 | $6,826 |
| $45,000 | $9,000 (20%) | 5.9% | 60 mo | $694 | $5,658 |
Working backwards from a budget. If you know the payment you can afford, adjust the price, down payment and term until the monthly figure fits, then check the total interest. That beats choosing a car first and working out the financing afterwards.
Every extra $1,000 down saves more than $1,000. On a 60-month loan at 6%, $1,000 less borrowed is $1,160 less to repay: the $1,000 itself plus about $160 of interest. On a 72-month loan at 7% the same $1,000 saves about $1,228.
Compare the dealer's financing with a pre-approval. Manufacturers sometimes advertise promotional rates on specific models, so compare the offer with the rate you get from a bank or credit union before you sign.
How this is calculated
The calculator uses the standard fixed-rate amortization formula. Interest is charged monthly on the remaining balance.
Formulas
The amount financed is the vehicle price minus your down payment and trade-in.
P = price − down payment − trade-in
The monthly rate is the annual rate (APR) divided by 12.
r = APR ÷ 100 ÷ 12
The level monthly payment over n months is:
payment = P × r ÷ (1 − (1 + r)⁻ⁿ)
At 0% interest the payment is simply the amount financed divided by the number of months.
payment = P ÷ n
Total interest is everything you pay minus the amount financed.
interest = payment × n − P
Sources
- Consumer Financial Protection Bureau, What is amortization and how could it affect my auto loan?. Explains how each payment splits between interest and principal over the loan term.
- Experian, Average car loan interest rates by credit score. Where the page's reference APRs come from; the calculator itself works for any rate you enter.
How we test this
This tool is checked against independent formulas every time the site is released, and a release does not ship if a check fails. Example from the test suite: $35,000 at 6.5% APR for 60 months gives $685 a month, $6,089 total interest. The test finds the payment by bisection, repeatedly narrowing the payment until the loan balance ends at zero, which does not use the closed-form formula above.
The test is “auto-loan: the term table values the pages quote” in tests/golden-calculators.test.mjs. More on how all tools are tested: our testing approach.
Assumptions and limits
- Fixed rate, equal monthly payments, interest compounding monthly. Variable-rate and balloon loans are not modeled.
- Sales tax, title, registration, dealer fees and insurance are not added. Include them in the vehicle price if you finance them.
- Real lenders may round payments to the cent or compute interest by the day, so a quote can differ from this estimate by a few dollars.
- This is an estimate for planning, not a loan offer or financial advice.
Last reviewed , the date of the latest change to this tool's calculation or content.
Helpful answers
Frequently asked questions
- How is a car payment calculated?
- The payment on a fixed-rate loan is P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the amount borrowed (price minus down payment and trade-in), r is the monthly rate (the annual rate divided by 12) and n is the number of monthly payments.
- How much is a car payment on a $30,000 loan?
- At 6.5% APR a $30,000 loan costs $919 a month over 36 months, $711 over 48, $587 over 60 and $504 over 72. A different rate changes these figures, so enter your own in the calculator.
- Does a longer loan term save money?
- It lowers the monthly payment but raises the total interest, because you owe the balance for more months. Compare terms in the table above and pick the shortest one whose payment fits your budget.
- How do extra payments help on a car loan?
- Extra money applied to principal reduces the balance that interest is charged on, so you pay less interest and finish sooner. Enter an extra monthly amount in the calculator to see the interest saved and the months cut. Confirm with your lender that extra payments go to principal and that there is no prepayment penalty.
- Should I focus on the monthly payment or the total cost?
- Focus on the total cost. A dealer can make almost any monthly payment look affordable by stretching the loan to 72 or 84 months, but a longer term adds interest. Compare the term table above and weigh the extra interest against the lower payment.
- Should I use a down payment or a trade-in to lower the loan?
- Both reduce the amount borrowed, which lowers the monthly payment and the total interest. A trade-in is credited at the price the dealer agrees to pay for it, so compare that offer with what you could get selling the car yourself.
Navigation
When to use this
You've found a car you like and the dealer is quoting you $550 a month over 72 months. That sounds manageable — but what does the total cost look like? This calculator shows the full picture: your monthly payment, total interest paid, and the all-in cost of the vehicle. Run the numbers before stepping onto the lot so you negotiate from a position of knowledge, not emotion.
It's also the right tool when you're weighing trade-offs. How much does a $3,000 larger down payment save you over the life of the loan? What happens if you go with 48 months instead of 72? What if you can get 5.9% from your credit union instead of the dealer's 7.2%? The term comparison table answers all of these questions side by side.
If you have a trade-in, enter its value separately. The calculator subtracts trade-in value from the vehicle price before computing the loan. If you owe more on your current car than it's worth (negative equity or being "upside down"), that remaining balance rolls into the new loan — and this calculator accounts for that.
Good to know
The formula is the same as any fixed-rate loan. Monthly Payment = P[r(1+r)^n] / [(1+r)^n - 1], where P = loan amount (price - down payment - trade-in), r = monthly interest rate, n = number of payments. The loan amount is what matters, not the sticker price.
Longer terms are more expensive than they look. A $35,000 loan at 6.5% over 60 months costs $685/month and $6,089 in interest. Stretch that to 72 months: $588/month sounds better, but total interest jumps to $7,361. At 84 months it's $520/month but $8,657 in interest. You're paying $2,568 more for the "convenience" of a lower payment.
Depreciation works against long loans. Kelley Blue Book says new cars often lose 20% or more of their value in the first year and up to 60% over five years (Kelley Blue Book, July 2025). With a 72- or 84-month loan and minimal down payment, you can easily owe more than the car is worth for the first 3–4 years. If you total the car or need to sell, you're stuck covering the gap.
Get pre-approved before shopping. A pre-approval from your bank or credit union gives you a baseline rate and maximum loan amount. Dealers can try to beat it, but you won't be pressured into their financing without a comparison point.
The 20/4/10 rule is a solid guardrail. Put at least 20% down, finance for no more than 4 years (48 months), and keep total vehicle costs (payment + insurance + fuel) under 10% of gross monthly income. Not everyone can hit all three, but it prevents the most common car-buying overextensions.
Quick Reference
| Vehicle Price | Down Payment | Rate | 48 mo | 60 mo | 72 mo |
|---|---|---|---|---|---|
| $25,000 | $5,000 (20%) | 5.9% | $469/mo | $386/mo | $331/mo |
| $35,000 | $5,000 (14%) | 6.5% | $711/mo | $587/mo | $504/mo |
| $35,000 | $7,000 (20%) | 6.5% | $664/mo | $548/mo | $471/mo |
| $45,000 | $9,000 (20%) | 6.0% | $845/mo | $696/mo | $597/mo |
| $45,000 | $5,000 (11%) | 7.2% | $962/mo | $796/mo | $686/mo |