How to use the Auto Loan Calculator
- Enter the negotiated price of the vehicle.
- Add your down payment and any trade-in value.
- Set your state's sales tax, the APR and the term.
- Review the monthly payment and how much the car really costs with interest.
How it works
Most US states tax the price minus the trade-in. The amount financed is price + tax − down payment − trade-in, and the monthly payment uses the
standard installment formula P × r ÷ (1 − (1 + r)−n).
Frequently asked questions
Is a 72- or 84-month car loan a good idea?
Longer terms lower the payment but raise total interest and increase the risk of owing more than the car is worth. 60 months or less is usually healthier.
How much should I put down on a car?
Around 20% for a new car and 10% for a used car helps avoid negative equity and can unlock better rates.
Does my credit score change the rate?
Yes — borrowers with excellent credit often get rates several points lower than those with fair or poor credit, which can save thousands.