Auto Loan Calculator

The Auto Loan Calculator estimates your monthly car payment, total interest cost, and the full price you'll pay for a vehicle loan. Compare different loan terms, interest rates, and down payments to find the most affordable option before visiting the dealership.

How the Formula Works

Monthly Payment = [P × r × (1+r)^n] ÷ [(1+r)^n − 1], where P = loan amount (price − down payment − trade-in), r = monthly rate, n = months.

How to Use This Calculator

  1. Enter the vehicle price
  2. Enter your down payment and/or trade-in value
  3. Enter the interest rate and loan term
  4. View monthly payment, total interest, and total cost

Tips & Best Practices

  • Get pre-approved by your bank or credit union before visiting the dealer — you'll have more negotiating power
  • A shorter loan term means higher payments but saves thousands in interest
  • Keep your total car expenses (payment + insurance + fuel + maintenance) under 15–20% of take-home pay
  • Avoid 72- or 84-month loans — you'll likely be 'underwater' (owing more than the car is worth) for years

Important Limitations

  • Does not include insurance, registration, or maintenance costs
  • Actual rate depends on your credit score, loan amount, and lender
  • Does not factor in sales tax on the vehicle purchase
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