Car Loan Payment Calculator
Before you sign, know the real number: your monthly car payment, how much interest you will pay, and what the loan really costs. Enter your loan amount, APR, and term.
How this calculator works
Auto loans are amortized: your payment stays fixed for the life of the loan, and each payment covers the month's interest first, then pays down principal. The calculator uses the standard amortization formula with your APR divided by 12, so the payment you see is the payment you would make before taxes, registration, and dealer fees. Longer terms shrink the payment but inflate the total interest — the calculator shows both sides of that trade-off.
Frequently asked questions
Should I take a longer car loan to lower the payment?
A 72- or 84-month term cuts the monthly payment noticeably, but you pay interest for years longer and owe more than the car is worth for a good part of the loan. A good rule: the payment matters less than the total cost and the car outlasting the loan.
What APR should I expect?
In 2026, well-qualified buyers on new cars can often find 5–7% APR, while used cars and weaker credit push rates higher — sometimes above 10%. Your credit score, the car's age, and whether you finance through the dealer or a bank all change the rate. Compare pre-approved offers before visiting the dealership.
Does the down payment affect my monthly payment?
Yes — the loan amount is the purchase price minus your down payment (plus taxes and fees). A bigger down payment means a smaller loan and less interest. This calculator works on the loan amount, so subtract your down payment first.
Disclaimer: Results are estimates for general information only and do not constitute financial, tax, or legal advice. Figures reflect 2026 rules and may change. Always confirm current limits and consult a qualified professional before making decisions. Official figures: IRS.gov · 2026 limits per IRS tax inflation adjustments.