Auto loan calculator 2026 — car payment & interest
Estimate your monthly car payment, total interest, and amortization from amount financed (or price minus down payment), term, and APR. Compare terms live, then check the payment against take-home pay.
By Sammy S. · Founder · AuthorUpdated for 2026
Calculate your car payment
Slide amount, term, and APR—or use price minus down payment and trade-in. Overview, term comparison, and amortization update as you type.
Loan inputs
Payment, interest & schedule update live
Price minus down payment and trade-in (include tax/fees only if rolled into the loan).
$25,000 · 60 mo · 7.5% APR
Monthly payment
$500.95
Total paid
$30,057.00
Total interest
$5,057.00
Cost mix
Pair with your take-home pay and DTI before you sign.
Sample scenarios — your lender's offer may differ.
Illustrative only—not a quote. Compare actual lender offers (see CFPB & Fed G.19 below).
How car loan payments work
Payment formula (amortized loan)
Most auto loans are fixed-rate, fully amortizing: each month you pay principal plus interest. Early in the loan, more of the payment goes to interest; later, more pays down principal.
A lower APR or shorter term reduces total interest. Extending the term cuts the monthly payment but usually increases total cost—use the Compare tab to see the trade-off.
Affordability vs. the payment
The payment is only part of ownership. The CFPB recommends budgeting for insurance, fuel, maintenance, and registration—not just the loan payment. Some personal-finance sources use a rough 10–15% of take-home pay for all vehicle costs as a benchmark; that is not a regulatory rule, but it can be a starting point alongside your own budget.
Use our paycheck calculator for net pay, then this tool for the loan payment. Lenders also look at debt-to-income.
Shop the loan—not just the payment
Amount financed
Sticker price is not what you borrow. Down payment, trade-in, tax, and add-ons change the financed amount. Model price − down − trade-in in the calculator, then add rolled-in fees if your quote includes them.
Term vs. total cost
A 72-month loan can look affordable monthly and expensive over the life of the loan. Compare payment and total interest at 36, 48, 60, and 72 months before you commit—especially if the car may depreciate faster than you pay it down.
APR shopping
The CFPB advises comparing APR, amount financed, length, and payment together—not the payment alone. Use the ±1% APR what-if panel to see how a better (or worse) rate changes both payment and interest.
When to use an auto loan calculator
Before you shop
Run scenarios for the loan amount you're comfortable financing and the term you want. When you have dealer or bank quotes, plug in their APR to compare monthly payment and total interest side by side.
Refinancing & trade-ins
Refinancing? Use your current balance and remaining months with the new rate. If you're rolling negative equity, the financed amount may be higher than the car's price — enter the actual amount the lender is financing.
Sales tax & fees
This calculator does not add tax or dealer fees for you. Enter the amount financed: if tax and fees are in the loan, include them in the loan amount; if you pay them upfront, use only the net financed amount after down payment and trade-in.
What is an auto loan calculator?
An auto loan calculator (also called a car payment calculator) estimates your monthly payment, total interest, and loan cost from three inputs: amount financed, loan term in months, and APR. It uses the same fixed-rate amortization math most U.S. auto loans use—so you can compare quotes before you sign, pressure-test a longer term, or estimate a refinance payoff.
This free tool also lets you model price − down payment − trade-in, compare common terms side by side, run an APR ±1% what-if, and preview amortization. Pair it with our paycheck calculator, DTI calculator, and budget calculator so the payment fits your real monthly cash flow—not just what a dealer quote shows.
Car loan term comparison: $25,000 at 7.5% APR
Illustrative only—your APR and fees will differ. Longer terms cut the monthly payment but raise total interest paid. Use the Compare tab above to rerun this with your own amount and rate.
| Term | Monthly payment | Total paid | Total interest |
|---|---|---|---|
| 36 mo (3 yr) | $777.66 | $27,995.76 | $2,995.76 |
| 48 mo (4 yr) | $604.47 | $29,014.56 | $4,014.56 |
| 60 mo (5 yr) | $500.95 | $30,057.00 | $5,057.00 |
| 72 mo (6 yr) | $432.25 | $31,122.00 | $6,122.00 |
| 84 mo (7 yr) | $383.46 | $32,210.64 | $7,210.64 |
How down payment changes your car payment
Example: $30,000 vehicle price, 60 months, 7.5% APR, no trade-in. A larger down payment lowers amount financed—and both payment and interest—if rate and term stay the same.
| Down payment | Amount financed | Monthly payment | Total interest |
|---|---|---|---|
| $0 | $30,000 | $601.14 | $6,068.40 |
| $3,000 | $27,000 | $541.02 | $5,461.20 |
| $6,000 | $24,000 | $480.91 | $4,854.60 |
| $9,000 | $21,000 | $420.80 | $4,248.00 |
Before you sign a car loan
Treat the loan as a separate decision from the car itself. These steps help you avoid payment-only shopping.
Know your take-home pay
Estimate net pay first so the loan payment fits after housing, food, and other debts.
Get a rate benchmark
Pre-approve with a bank or credit union, then compare the dealer’s APR and fees on the same amount financed.
Separate the car deal from the loan
Negotiate the purchase price (and trade-in) before discussing monthly payment packaging.
Check DTI and budget room
Lenders care about debt-to-income; you should also leave room for insurance and maintenance.
Dealer financing vs bank or credit union
Bank / credit union pre-approval
A pre-approval gives you a rate benchmark and a clear maximum you can borrow. Credit unions often price competitively for members. Plug that APR into this calculator with your expected amount financed so you know the payment before you negotiate at the dealership.
Dealer / captive finance
Dealer financing can win on convenience or manufacturer specials—but compare the same amount financed, term, APR, and fees. Watch for add-ons that inflate the loan. The CFPB recommends comparing more than the monthly payment alone.
New vs used car loans
APR differences
Used-car loans often carry higher APRs than new-car loans for the same borrower. Always price both scenarios with your real rate quotes.
Depreciation & equity
New cars typically lose value fastest in the early years. A long loan on a new car increases the chance of owing more than it is worth.
Term limits
Some lenders cap used-vehicle terms shorter than new ones. Match term to how long you will keep the car and what you can afford monthly.
When refinancing an auto loan makes sense
Refinance if you can lower APR enough to offset fees, shorten the term without breaking your budget, or both. Enter your current payoff balance, remaining months (or a new term), and the offered refinance APR.
Rate drop vs. remaining interest
Use the APR ±1% panel and Schedule tab to see how much interest is left on your current path versus a lower rate. If you extend the term just to cut the payment, you may erase the savings—compare total interest, not only the new monthly amount.
Fees and payoff timing
Ask for a payoff quote, any refinance fees, and whether interest is simple-interest day-count. Confirm there is no costly prepayment penalty on the old loan. Official numbers live on your Truth in Lending disclosure and lender payoff letter—not this estimate.
Negative equity (underwater) car loans
You are underwater when the loan balance exceeds the car's market value. Common causes include a small down payment, a long term, rolling prior negative equity into a new deal, or rapid depreciation. If you trade in while underwater, the shortfall is often added to the new amount financed—raising payment and interest unless you pay the gap in cash.
Reduce the risk with a larger down payment, a shorter term when cash flow allows, and avoiding add-ons you do not need. Model the financed amount carefully in Price − down mode before you commit.
Common auto loan mistakes
Focusing only on the monthly payment
A low payment can hide a long term, high APR, or add-ons rolled into the loan. Compare total interest and amount financed too.
Skipping a pre-approval
Walking in without a bank or credit-union quote makes it harder to know if dealer financing is competitive.
Ignoring insurance and ownership costs
The CFPB stresses full ownership cost—insurance, fuel, maintenance, registration—not just the loan payment.
Rolling negative equity without a plan
Adding an underwater balance to a new loan raises the financed amount and can put you underwater again quickly.
Stretching to 72–84 months by default
Longer terms lower the payment but raise total interest and underwater risk if the car depreciates fast.
Not reading the Truth in Lending disclosure
Your contract’s APR, finance charge, and amount financed are the official figures—not a website estimate.
Total cost of car ownership beyond the loan
The CFPB emphasizes that affordability is not the loan payment alone. Budget for insurance (which can jump after a financed purchase), fuel or charging, maintenance and tires, registration, parking, and emergency repairs. After you estimate the payment here, run your take-home pay and a full monthly budget. If housing plus car plus other debts push DTI high, use the DTI calculator before you stretch for a pricier vehicle.
Quick next steps
- Estimate net pay with the US paycheck calculator.
- Check lender-style ratios on the debt-to-income calculator.
- Compare a mortgage payment with the mortgage calculator if housing and a car compete for the same budget.
- Model an unsecured alternative with the personal loan calculator.
Payment math: Standard fixed-rate amortization with equal monthly payments and interest accrued each month on the remaining balance (APR ÷ 12). The same structure underlies the Consumer Financial Protection Bureau's published comparison example ($20,000 at 4.75% APR).
- CFPB — How do I compare auto loan offers?
- CFPB — How much can I afford to borrow for a car or auto loan?
- Federal Reserve — G.19 Consumer Credit (motor vehicle loan rates)
- Paycheck Tax Calculator — About & full source list
Simple-interest or non-standard contracts, fees, rebates, and add-on products can change the payment your lender shows. Use your Truth in Lending / loan agreement for the official figures.
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Last updated: 2026-07-26 · Estimates only; not financial advice.