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Auto Loan Calculator

Estimate car loan payments, interest cost, taxes, fees, and amortization schedule.


Loan Balance Over Time

Cost Breakdown

Auto Loan Calculator – Estimate Monthly Car Payments

The Auto Loan Calculator helps estimate monthly payments, total interest, and overall cost of financing a vehicle purchase. It is mainly intended for car purchases within the United States, but users outside the U.S. may adjust inputs accordingly.

What Are Auto Loans?

Auto loans are secured loans used to finance vehicle purchases. Borrowers typically repay the loan over 36, 48, 60, 72, or 84 months. Each payment includes both principal and interest.

Failure to repay an auto loan can result in vehicle repossession by the lender.

Dealership Financing vs. Direct Lending

There are two primary ways to finance a vehicle: direct lending or dealership financing.

Direct lending gives buyers more control and negotiating power, while dealership financing offers convenience and promotional rates.

Manufacturer Financing & Rebates

Car manufacturers often offer low-interest financing or cash rebates to boost sales. Promotional rates like 0%, 0.9%, or 1.9% APR are common for new vehicles.

Rebates reduce the purchase price, but tax treatment varies by state.

Taxes & Fees in Auto Purchases

These costs may be paid upfront or included in the auto loan.

Auto Loan Strategies

Buying a Car With Cash vs. Financing

Paying in cash eliminates monthly payments and interest costs. Financing, however, may allow buyers to invest saved cash elsewhere or improve their credit score through consistent payments.

Trade-In Value & Sales Tax

Trading in a vehicle can reduce the taxable amount of a new car purchase in many states. However, some states do not offer tax reductions for trade-ins.

Selling privately may result in higher value than dealership trade-ins.

Frequently Asked Questions

Is this auto loan calculator accurate?

It provides close estimates using standard auto loan formulas.

Can I include taxes and fees in the loan?

Yes, most taxes and fees can be rolled into the auto loan.

What loan term is best for auto loans?

Shorter terms usually save interest, while longer terms reduce monthly payments.

Is buying with cash always better?

Not always. Financing may be beneficial with low interest rates or credit-building goals.

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