Car Loan Calculator

How to use a car loan calculator

A car loan calculator helps you understand the real cost of financing a vehicle before you sign anything. Enter the vehicle price, your down payment, any trade-in value, the local sales tax rate, the interest rate the dealer or lender quoted, and the loan term. The calculator shows your monthly payment, total interest paid over the life of the loan, and the full cost of the vehicle including financing.

The most important number to watch is total interest, not just the monthly payment. Dealers often extend the loan term to lower your monthly payment while significantly increasing what you pay in interest. Try moving the term slider from 48 months to 72 months and compare the total interest — the lower monthly payment usually comes with thousands of dollars in extra interest.

Trade-in value and down payment both reduce the amount you finance. A larger down payment means less interest paid over the life of the loan. The secondary strip shows exactly how much you are financing after your upfront credits, so you can see the gap between the dealer sticker price and the true total you will pay.