Car Loan Calculator

Calculate your monthly auto loan payment, total interest, and compare different financing options side-by-side.

Monthly Payment
$0
Loan Amount $0
Total Interest $0

Cost Breakdown

Vehicle Price $0
Sales Tax $0
Down Payment -$0
Trade-In -$0
Amount Financed $0
Total Interest $0
Total Cost of Car $0

Compare Loan Terms

Term Payment Total Interest
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AI Insight

⚖️ Compare 3 Car Loan Scenarios

See how different down payments, rates, and terms affect your payment

🚗 Vehicle Information

A

Short Term

$0/mo
Loan Amount $0
Total Interest $0
Total Cost $0
B

Standard

$0/mo
Loan Amount $0
Total Interest $0
Total Cost $0
C

Low Payment

$0/mo
Loan Amount $0
Total Interest $0
Total Cost $0

🏆 Comparison Results

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📚 Complete Guide to Car Loans

🚗 Understanding Car Loans

A car loan lets you spread the cost of a vehicle over time. You'll pay interest on the borrowed amount, so the total cost is more than the sticker price.

Key components:

  • Principal: The amount you borrow
  • Interest Rate (APR): The cost of borrowing
  • Term: How long you have to repay
  • Down Payment: What you pay upfront

📊 Real-World Example

Scenario: $30,000 car with $5,000 down at 6% for 60 months

Vehicle Price $30,000
Down Payment -$5,000
Loan Amount $25,000
Monthly Payment $483
Total Interest $3,999

💡 A shorter 36-month term would save ~$1,500 in interest!

⚠️ Common Mistakes to Avoid

  • Focusing only on monthly payment: A longer term means lower payments but WAY more interest
  • Skipping the down payment: Put at least 10-20% down to avoid being "underwater"
  • Not shopping rates: A 1% difference saves hundreds over the loan
  • Forgetting total cost: Add insurance, gas, maintenance to your budget
  • Buying too much car: Keep total car costs under 15-20% of take-home pay

💰 Pro Tips to Save Money

  • Get pre-approved: Know your rate before you shop
  • Choose 36-48 months: Shorter terms mean less interest
  • Boost your credit score: 720+ gets the best rates
  • Make a larger down payment: 20% is ideal
  • Consider certified pre-owned: Save thousands vs new
  • Time your purchase: End of month/year often has better deals