Car Payment Calculator
Know the real monthly cost before you sit at the financing desk. Set the price and see the payment, interest and total bill.
Last updated: August 5, 2026
How a car loan works
An auto loan is amortizing: each monthly payment covers the interest earned since the last payment, then the rest reduces the balance. Early on, most of the payment goes to interest; later, most goes to principal. Over the life of the loan you repay the amount financed plus all the interest, so the sticker price is never the whole story.
The formula
Worked example
A $32,000 car with a $5,000 down payment finances $27,000 at 6.5% over 60 months.
Payment ≈ $528. Total interest ≈ $4,680. Total of payments ≈ $31,680.
Stretch that same loan to 84 months and the payment drops to about $399, but the interest climbs to roughly $6,500 — the classic trade-off delivery teams count on you not noticing.
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Frequently asked questions
Does this include sales tax and fees?
No. Many buyers add tax, title, registration and dealer fees to the financed amount. If you know yours, add them to the vehicle price before calculating for a fuller picture.
What is a good APR right now?
Rates vary widely with credit score, lender and whether the manufacturer offers a promotion. Compare a few quotes, and remember the rate matters most on longer terms where interest compounds the longest.
Should I pay more than the minimum?
If the loan allows extra principal payments without penalty, paying more each month saves interest and shortens the term. Check that the extra goes toward principal, not just the next payment.
This is an estimate assuming equal monthly payments and a fixed rate. Actual terms, fees and taxes differ by lender and state. Not an offer of credit.