Car Loan Calculator

How this calculator works

Your loan amount is the vehicle price minus your down payment and trade-in value. That amount is amortized over the loan term at your interest rate, exactly like a mortgage: each payment covers the month's interest first, and the rest reduces the balance.

Why the term length matters so much

Longer terms (72–84 months) lower the monthly payment but raise the total interest — and they keep you "underwater" (owing more than the car is worth) for longer, since cars depreciate fastest in their first years. A useful rule of thumb is 20/4/10: put at least 20% down, finance for no more than 4 years, and keep total vehicle costs under 10% of your gross income.

Remember the costs beyond the loan

• Insurance, fuel, maintenance, and registration typically add hundreds per month on top of the payment.
• Get pre-approved by a bank or credit union before visiting the dealer — it gives you a rate to beat and keeps the negotiation focused on price.
• Negotiate the vehicle price, not the monthly payment; a payment can be made to look small by quietly stretching the term.