Car Loan Calculator: Estimate Your Monthly Auto Payment
Estimate your monthly auto-loan payment and total interest
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Reviewed against primary sources.
Principal & interest only
That's $640.21 every month on a $31,950 loan at 7.5% over 60 months — $6,463 of interest over the life of the loan.
Loan balance over time
Amortization schedule60 rows
Amortization schedule
60 rows| Month | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $440.52 | $199.69 | $31,509 |
| 2 | $443.28 | $196.93 | $31,066 |
| 3 | $446.05 | $194.16 | $30,620 |
| 4 | $448.84 | $191.38 | $30,171 |
| 5 | $451.64 | $188.57 | $29,720 |
| 6 | $454.46 | $185.75 | $29,265 |
| 7 | $457.30 | $182.91 | $28,808 |
| 8 | $460.16 | $180.05 | $28,348 |
| 9 | $463.04 | $177.17 | $27,885 |
| 10 | $465.93 | $174.28 | $27,419 |
| 11 | $468.85 | $171.37 | $26,950 |
| 12 | $471.78 | $168.44 | $26,478 |
Estimate excludes registration, title, dealer fees, gap insurance, extended warranties, and ongoing costs (insurance, fuel, maintenance).
This car loan calculator determines your monthly payment and total interest for an auto loan. It uses the standard amortization formula, considering vehicle price, down payment, interest rate, term, and sales tax. Payments initially cover more interest, gradually shifting to principal. Most US auto loans are 60–72 months, with APRs typically 7–12% based on credit and vehicle type.
**A $30,000 car loan at 7.5% APR over 60 months is roughly $601/month with about $6,074 in total interest.** Each extra year on the term cuts the payment by roughly 15% but adds 25–35% in interest, and stretching past 72 months puts most borrowers underwater for years. The single biggest lever you control is the down payment, not the rate.
What is a car loan?
Utilize this comprehensive car loan calculator to accurately determine your monthly auto-loan payment, total interest accrued, and a detailed amortization schedule. Enter the vehicle price, your down payment, the Annual Percentage Rate (APR), and the desired loan term. The tool also accounts for sales tax and provides side-by-side comparisons for various loan durations (48, 60, 72, 84 months) to help you visualize different scenarios. The underlying calculations adhere to the standard fixed-rate amortization formula, as mandated by the Truth in Lending Act. Our data incorporates current 2026 average APRs, meticulously sourced from the latest Experian State of the Automotive Finance Market quarterly report, ensuring up-to-date and reliable estimates for your auto financing decisions.
The formula
- M — monthly payment
- P — amount financed (price − down payment + taxes)
- r — monthly interest rate (APR ÷ 12)
- n — number of monthly payments (term in months)
Source: Standard amortization formula (TILA Regulation Z disclosure).
Worked examples
1Average new-car buyer
$35,000 sticker, $5,000 down, 7.5% APR, 60 months, 6.5% sales tax. Amount financed: $31,950. Monthly payment lands at $640 with $6,452 of total interest over 5 years. The first month's payment splits $200 to interest and $440 to principal; by month 60 it is $4 interest and $636 principal.
2Stretched 84-month luxury loan
$65,000 luxury sedan with only $5,000 down at 6.99% APR over 84 months, plus tax. Amount financed: $63,900. Monthly payment is $959 — manageable on paper, but total interest balloons to $16,615. The same loan over 60 months runs $1,265/month with $11,012 in interest — $306 more per month but $5,600 less in interest. This contrast is why most financial advisors push terms ≤60 months: every additional year is roughly $1,000 of avoidable interest.
3Used-car, lower price, higher APR
A $16,000 three-year-old sedan, $2,000 down, 12.5% APR (typical for used cars at 660 FICO), 60 months. Amount financed: $14,910. Monthly payment $336, total interest $5,251. The high APR — over 12% — means roughly 35% of every dollar paid in year one is interest. Refinancing in 12–18 months once credit improves can knock 2–4 points off the rate and save $600–$1,200.
How to use this calculator
- Vehicle price — Out-the-door price of the car before taxes and fees. For a $40,000 sticker minus $5,000 incentives, enter $35,000.
- Down payment — Cash plus trade-in value applied at signing. Lenders typically prefer 10–20% down.
- Interest rate (APR) — Annual percentage rate from your lender. Average new-car APR was 7.18% and used-car APR 11.93% per Experian Q4 2025.
- Term — Loan length in months. Most US auto loans run 60–72 months; longer terms lower the payment but raise total interest.
- Sales tax — State + local sales tax on the vehicle. Varies from 0% (e.g. Oregon) to over 9% in some metros.
- Read the result. Use the worked examples below to sanity-check against a known scenario.
What your result means and what to do next
A monthly payment in the $400–$700 range is typical for a single-vehicle household. Financial advisors commonly use the 20/4/10 rule: at least 20% down, no longer than 4 years (48 months), with total transportation costs (payment + insurance + fuel + maintenance) under 10% of gross income. Most real-world buyers stretch this — Experian's 2025 data shows the average new-car loan is 68 months at 7.18% APR with $750 monthly payments — but every month past 60 raises the chance you'll be upside-down (owe more than the car is worth) for a meaningful stretch.
If your payment lands above $1,000/month, two things to check: are you financing the full price plus tax (versus trading in for equity to reduce the principal), and is the term 72+ months on a vehicle that depreciates 20%+ in year one? Both compound a thin equity cushion into negative equity territory.
A payment that looks reasonable but with $300–$400/month going to interest in year one is the classic 'bigger car than I should buy' signal. If the principal slice is below 35% of the payment in month one, rethink either the price or the down payment before signing.
Common mistakes and edge cases
How small changes affect your result
60-month vs 72-month loan on a $30,000 amount financed at 7.5% APR
| Term | Monthly payment | Total interest | Total paid |
|---|---|---|---|
| 48 months | $725 | $4,795 | $34,795 |
| 60 months | $601 | $6,074 | $36,074 |
| 72 months | $518 | $7,289 | $37,289 |
| 84 months | $459 | $8,562 | $38,562 |
Each year added drops the payment ~12–15% but adds ~$1,200 in interest.
Frequently asked questions
What's a good interest rate for a car loan in 2026?
Should I take a 60-month, 72-month, or 84-month auto loan?
How much should I put down on a car?
Does sales tax get rolled into the loan?
Should I take 0% APR or the cash rebate?
Can I refinance my car loan?
What's the difference between MSRP, OTD, and amount financed?
Should I buy gap insurance from the dealer?
Car Loan glossary
How we built this calculator
Methodology
The math is the same fixed-rate amortization formula used for mortgages: each month you pay interest on the outstanding balance plus a slice of principal, sized so the loan zeros out exactly at the end of the term. Early on, a 7.5% APR loan on $30,000 has about $188 of interest in month one — by month 60, only $4. The split shifts a few percentage points toward principal each month.
This calculator was written by Numora finance team and reviewed by Numora editorial review board, Certified Financial Planner (CFP) before publication. Both names link to full bios with verifiable credentials.
Sources & references
Every numeric assumption traces to a primary source.
- Experian State of the Automotive Finance Market Q4 2025USA
- CFPB Auto loans guidanceUSA
- Federal Reserve G.19 Consumer Credit dataUSA
- FTC Buying a New Car guideUSA
- Edmunds True Cost to OwnUSA
- Kelley Blue Book auto financingUSA
- NHTSA vehicle data and pricingUSA
- Truth in Lending Act, 12 CFR Part 1026USA
- Numora Editorial Policy. numora.net/editorial-policy
This calculator is for informational purposes only and does not constitute financial advice. Numbers shown are estimates based on the inputs you provide. Conventions and regulations vary by country. Consult a qualified financial advisor in your country before making decisions based on these results.