Auto Loan Calculator

Our auto loan calculator helps you estimate your monthly car payment, total interest, and overall cost when financing a vehicle purchase.

How Auto Loans Work

An auto loan is a secured loan where the vehicle serves as collateral. You make monthly payments over a set term (typically 3-7 years) that include both principal and interest.

The Formula

Monthly Payment = Loan Amount × (r × (1 + r)^n) / ((1 + r)^n - 1)

• Loan Amount: Car price minus down payment
• r: Monthly interest rate
• n: Number of monthly payments

Tips for Auto Loans

• Larger down payments reduce monthly costs and interest
• Shorter loan terms mean higher payments but less total interest
• Shop around for the best interest rates
• Consider total cost, not just monthly payment

Example

Car Price: $30,000, Down: $5,000, Rate: 4.5%, Term: 5 years
Loan Amount: $25,000
Monthly Payment: $466.08
Total Interest: $2,964.80