Auto Loan Calculator
Calculate monthly car loan payments, total interest paid, and full loan cost with our free auto loan calculator.
Input Parameters
Results
Auto Loan Tips
Aim for a loan term no longer than 60 months to avoid being 'upside down' (owing more than the car is worth). A higher down payment reduces your monthly payment and total interest paid.
What is the Auto Loan Calculator?
The Auto Loan Calculator helps car buyers estimate their monthly payments before stepping foot in a dealership. It factors in the sticker price, your down payment, and any trade-in value to find the exact financed amount.
How It Works (Algorithm)
Auto loans use a standard amortization formula. The calculator subtracts your down payment and trade-in value from the vehicle's price, adds the state sales tax, and then spreads that principal across your chosen term length (e.g., 60 months) with applied interest.
$$ \text{Financed Amount} = (\text{Price} - \text{Down Payment} - \text{Trade In}) \times (1 + \text{Tax}) $$
Determines the true principal balance before bank interest is applied.
How to Use It
Enter the vehicle's purchase price. Input any cash down payment and the value of the car you are trading in. Finally, input the bank's interest rate and the loan term. The calculator will instantly output your required monthly car payment.