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Calcora

Loans

Car Loan Calculator

Estimate your monthly car payment, the amount financed after your down payment and trade-in, and the interest the loan will cost.

Your purchase and financing

Enter the vehicle price, what you pay upfront, and the financing terms you were offered or expect.

The purchase

The price before taxes and fees.

Cash you pay upfront. Leave blank for $0.

What the dealer credits for your current vehicle.

Estimated on the full vehicle price and added to the loan.

Documentation, title, and similar fees added to the loan.

The loan

The loan’s annual percentage rate.

Common loan terms, in months

Choose a common term or enter any number of months.

Private by design

Your vehicle price, down payment, trade-in, and loan terms stay in your browser and are not sent to Calcora.

How this calculator works

  1. Enter the purchase

    Add the vehicle price, your down payment, and any trade-in value. You can include an estimated sales tax rate and fees.

  2. The amount financed is worked out

    The price plus estimated tax and fees, minus your down payment and trade-in, is the amount you borrow.

  3. The monthly payment is set

    The amount financed is repaid in equal monthly payments with the standard fixed-rate loan formula. Each month, interest is the APR divided by 12.

  4. Compare the options

    See how a larger down payment or a different loan term changes the payment and the total interest.

What shapes a car loan

What determines your car payment?

Three things: how much you borrow, the APR, and the number of months. Borrowing less or paying a lower APR lowers the payment and the interest.

How a down payment affects your loan

Every dollar you put down is a dollar you do not borrow, so you pay no interest on it. A larger down payment lowers both the monthly payment and the total interest.

How loan term affects interest

Spreading the same loan over more months lowers each payment, but interest is charged for longer, so the total interest usually rises.

Example car loan calculation

A $35,000 vehicle with $5,000 down, a $3,000 trade-in, and a 6.5% APR over 60 months, calculated the same way as the calculator above.

The amount financed

With a 6% sales tax estimate on the full price and $500 in fees, both added to the loan.

Vehicle price
$35,000.00
Estimated sales tax (6%)
+$2,100.00
Estimated fees
+$500.00
Down payment
−$5,000.00
Trade-in value
−$3,000.00
Amount financed
$29,600.00

The loan

Monthly payment
$579.16
Total interest
$5,149.45
Total of loan payments
$34,749.45

Over 72 months instead, the payment falls to $497.57, but the total interest rises by $1,075.94, to $6,225.39.

Assumptions

  • This calculator covers financing only. Insurance, fuel, maintenance, repairs, registration renewals, and depreciation are not included.
  • Sales tax is estimated as the rate you enter times the full vehicle price. Many states tax only the price minus your trade-in, and local rules vary; state tax rules are not modeled.
  • Estimated sales tax and fees are added to the amount financed. If you pay them upfront, include that cash in your down payment instead.
  • Your down payment and trade-in value reduce the amount financed. A loan still owed on your trade-in, rebates, and dealer incentives are not modeled.
  • The APR stays the same for the whole loan. Interest is charged monthly at the APR divided by 12, on the balance at the start of each month.
  • One payment is made at the end of each month, starting next month, with no extra payments, prepayment penalties, or late fees.
  • The monthly payment is rounded to the nearest cent, so the final payment can differ slightly to bring the balance to exactly $0.
  • Lenders and dealers may calculate differently. Results are estimates for education, not a loan offer or financial advice.

How Calcora calculates

  • Every calculator explains the formula behind its result in plain language.
  • Calculators are designed to run in your browser, so your inputs are not sent to Calcora.
  • Results help you understand your options. They are not financial advice.
Read the methodology

Frequently asked questions

How is a car loan payment calculated?
First the amount financed is worked out: the vehicle price plus estimated sales tax and fees, minus your down payment and trade-in. That amount is repaid in equal monthly payments using the standard fixed-rate formula, payment = P × r ÷ (1 − (1 + r)^−n), where r is the APR divided by 12 and n is the number of months. The payment is rounded to the nearest cent.
What is the amount financed?
It is the amount you borrow. The calculator shows it line by line: the vehicle price, any estimated sales tax and fees you add, minus your down payment and trade-in value. Interest is charged only on this amount.
How does a larger down payment change my loan?
You borrow less, so the monthly payment and the total interest both go down. The “What if I put more down?” table shows the amount financed, payment, and interest for several larger down payments.
Does a longer loan term cost more?
Usually. A longer term lowers each monthly payment, but you pay interest for more months, so the total interest is higher at the same APR. The loan term table compares common terms side by side.
How are sales tax and trade-ins handled?
Sales tax is optional and estimated simply: the rate you enter times the full vehicle price. Many states tax only the price after your trade-in, so your actual tax may be lower. The trade-in value is subtracted from the amount financed; a loan still owed on your trade-in is not modeled.
What about 0% APR offers?
The calculator models the APR you enter, including 0%: you pay no interest, and the amount financed is divided across your payments. It does not model other terms that can come with a promotional offer.
Does Calcora store my information?
No. The calculation runs in your browser. Your vehicle price, down payment, trade-in, and loan terms are not sent to Calcora or saved, and they are cleared when you leave or reload the page.

Related calculators

Want the full month-by-month picture of any fixed-rate loan? Use the Amortization Calculator.