Auto Loan Calculator
Your car payment depends on the price after your down payment and trade-in, the sales tax, the APR and the term. Enter those figures to see how much you would finance, your monthly payment, and the total interest over the life of the loan.
Auto Loan Calculator
How this calculator works
An auto loan is amortised like any other instalment loan: the payment is fixed, and each month interest is charged on the remaining balance with the rest going to principal. What makes a car loan different is how the amount financed is built up — from the price, minus your down payment and trade-in, plus sales tax.
This calculator applies sales tax to the price minus the trade-in value, which is the common treatment in many states because a trade-in reduces the taxable purchase. Your state may differ, so confirm the rule where you live. The down payment is cash and does not reduce the taxable amount here.
The monthly payment then comes from the standard amortisation formula at the APR you enter. No market rate or dealer fee is assumed. If the dealer adds documentation fees, extended warranties or other products, add them to the amount financed for a more complete estimate.
Frequently asked questions
Is sales tax charged on the full price?
In many states tax is charged on the price minus the trade-in value, but rules vary and some states tax the full purchase price. Check your state's rule and use the rate that applies to you.
Does a bigger down payment lower my payment?
Yes. A larger down payment reduces the amount financed, which lowers both the monthly payment and the total interest. It can also help you avoid being upside-down on the loan.
Should I take a longer term to lower the payment?
A longer term lowers the payment but raises total interest and keeps you in debt longer, which increases the chance of owing more than the car is worth. Compare the total interest for each term.
Does this include dealer fees or extended warranties?
No. Only the figures you enter are used. Add any dealer documentation fees, warranties or add-ons to the price, or to the amount financed, to see their effect.
What APR should I enter?
Use the APR from the financing offer, which includes most lender fees. If you only have the interest rate, enter that and remember the real cost may be slightly higher.
Check your rate with a lending partner in about two minutes. Checking does not affect your credit score.
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