Auto Loan Calculator
A car loan spreads the amount you finance across fixed monthly payments. Your down payment and trade-in shrink the loan. The rate decides how much extra you pay on top.
Enter the price, down payment, trade-in, rate and term. You get the monthly payment, the total interest, and a year-by-year breakdown.
Vehicle details
Optional. Added to the amount you finance; trade-in reduces the taxable amount.
Your auto loan
- Monthly payment
- $594.04
- Amount financed
- $30,000.00
- Total interest
- $5,642.16
- Total of loan payments
- $35,642.16
14% of the car covered upfront, your down payment plus trade-in
Where your payments go over the life of the loan
Over 5 years you pay $30,000.00 toward the loan itself and $5,642.16 in interest. Principal stays ahead of interest from the start. Full year-by-year figures are in the amortization schedule below.
Show amortization schedule (by year)
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $5,192.94 | $1,935.49 | $24,807.06 |
| 2 | $5,568.34 | $1,560.09 | $19,238.72 |
| 3 | $5,970.87 | $1,157.56 | $13,267.85 |
| 4 | $6,402.51 | $725.92 | $6,865.34 |
| 5 | $6,865.34 | $263.09 | $0.00 |
Before you rely on this
Results are generic estimates using standard time-value-of-money formulas, the same math everywhere. Real-world figures depend on your country's tax rules, rounding, fees, and lender or product terms, which vary by jurisdiction. Treat this as a guide and confirm important numbers with a local professional.
How the auto loan calculation works
The payment uses the amortization formula M = P · r / (1 − (1 + r)⁻ⁿ). The amount financed is the price minus your down payment and trade-in, plus any sales tax you roll into the loan.
A longer term lowers the monthly payment and raises the total interest. Cars also lose value fast, so a long loan can leave you owing more than the car is worth.
Tips
- Get pre-approved at a bank or credit union before the dealership. Now the dealer's rate has a number to beat.
- A bigger down payment cuts both the payment and the interest.
- Compare total cost across terms, not just the monthly payment.
Frequently asked questions
How is a car payment calculated?
Take the amount financed (price minus down payment and trade-in, plus any rolled-in tax) and run the amortization formula with the monthly rate and the number of months. The calculator does it for you.
Does a trade-in lower my payment?
Yes. A trade-in works like extra money down: less to finance, so a lower monthly payment and less total interest.
Should I take a longer loan for a lower payment?
The month gets cheaper, but total interest rises and you stay underwater longer because cars depreciate quickly. Pick the shortest term that fits your budget.