🚗 Auto Loan Calculator
Work out your monthly car payment, the amount you finance after tax, down payment and trade-in, and the interest you will pay over the loan.
Quick answer: A $35,000 car with $5,000 down, a $3,000 trade-in and 7% sales tax leaves $29,240 to finance; at 6.5% APR over 60 months the payment is $572.11 a month, with $5,086.89 in total interest.
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Auto Loan Calculator inputs
Result
Monthly car payment
$572.11
for 5 years at 6.5% APR
| Vehicle price | $35,000.00 |
| Sales tax | $2,240.00 |
| Down payment | −$5,000.00 |
| Trade-in | −$3,000.00 |
| Amount financed | $29,240.00 |
- Total interest
- $5,086.89
- Total of payments
- $34,326.89
- Total cost of car
- $42,326.89
Amortization schedule
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $5,115.34 | $1,749.98 | $24,124.66 |
| 2 | $5,457.93 | $1,407.39 | $18,666.73 |
| 3 | $5,823.42 | $1,041.90 | $12,843.31 |
| 4 | $6,213.45 | $651.87 | $6,629.86 |
| 5 | $6,629.86 | $235.75 | $0.00 |
Show monthly schedule (60 payments)
| # | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $572.11 | $413.73 | $158.38 | $28,826.27 |
| 2 | $572.11 | $415.97 | $156.14 | $28,410.30 |
| 3 | $572.11 | $418.22 | $153.89 | $27,992.08 |
| 4 | $572.11 | $420.49 | $151.62 | $27,571.59 |
| 5 | $572.11 | $422.76 | $149.35 | $27,148.83 |
| 6 | $572.11 | $425.05 | $147.06 | $26,723.78 |
| 7 | $572.11 | $427.36 | $144.75 | $26,296.42 |
| 8 | $572.11 | $429.67 | $142.44 | $25,866.75 |
| 9 | $572.11 | $432.00 | $140.11 | $25,434.75 |
| 10 | $572.11 | $434.34 | $137.77 | $25,000.41 |
| 11 | $572.11 | $436.69 | $135.42 | $24,563.72 |
| 12 | $572.11 | $439.06 | $133.05 | $24,124.66 |
| 13 | $572.11 | $441.43 | $130.68 | $23,683.23 |
| 14 | $572.11 | $443.83 | $128.28 | $23,239.40 |
| 15 | $572.11 | $446.23 | $125.88 | $22,793.17 |
| 16 | $572.11 | $448.65 | $123.46 | $22,344.52 |
| 17 | $572.11 | $451.08 | $121.03 | $21,893.44 |
| 18 | $572.11 | $453.52 | $118.59 | $21,439.92 |
| 19 | $572.11 | $455.98 | $116.13 | $20,983.94 |
| 20 | $572.11 | $458.45 | $113.66 | $20,525.49 |
| 21 | $572.11 | $460.93 | $111.18 | $20,064.56 |
| 22 | $572.11 | $463.43 | $108.68 | $19,601.13 |
| 23 | $572.11 | $465.94 | $106.17 | $19,135.19 |
| 24 | $572.11 | $468.46 | $103.65 | $18,666.73 |
| 25 | $572.11 | $471.00 | $101.11 | $18,195.73 |
| 26 | $572.11 | $473.55 | $98.56 | $17,722.18 |
| 27 | $572.11 | $476.11 | $96.00 | $17,246.07 |
| 28 | $572.11 | $478.69 | $93.42 | $16,767.38 |
| 29 | $572.11 | $481.29 | $90.82 | $16,286.09 |
| 30 | $572.11 | $483.89 | $88.22 | $15,802.20 |
| 31 | $572.11 | $486.51 | $85.60 | $15,315.69 |
| 32 | $572.11 | $489.15 | $82.96 | $14,826.54 |
| 33 | $572.11 | $491.80 | $80.31 | $14,334.74 |
| 34 | $572.11 | $494.46 | $77.65 | $13,840.28 |
| 35 | $572.11 | $497.14 | $74.97 | $13,343.14 |
| 36 | $572.11 | $499.83 | $72.28 | $12,843.31 |
| 37 | $572.11 | $502.54 | $69.57 | $12,340.77 |
| 38 | $572.11 | $505.26 | $66.85 | $11,835.51 |
| 39 | $572.11 | $508.00 | $64.11 | $11,327.51 |
| 40 | $572.11 | $510.75 | $61.36 | $10,816.76 |
| 41 | $572.11 | $513.52 | $58.59 | $10,303.24 |
| 42 | $572.11 | $516.30 | $55.81 | $9,786.94 |
| 43 | $572.11 | $519.10 | $53.01 | $9,267.84 |
| 44 | $572.11 | $521.91 | $50.20 | $8,745.93 |
| 45 | $572.11 | $524.74 | $47.37 | $8,221.19 |
| 46 | $572.11 | $527.58 | $44.53 | $7,693.61 |
| 47 | $572.11 | $530.44 | $41.67 | $7,163.17 |
| 48 | $572.11 | $533.31 | $38.80 | $6,629.86 |
| 49 | $572.11 | $536.20 | $35.91 | $6,093.66 |
| 50 | $572.11 | $539.10 | $33.01 | $5,554.56 |
| 51 | $572.11 | $542.02 | $30.09 | $5,012.54 |
| 52 | $572.11 | $544.96 | $27.15 | $4,467.58 |
| 53 | $572.11 | $547.91 | $24.20 | $3,919.67 |
| 54 | $572.11 | $550.88 | $21.23 | $3,368.79 |
| 55 | $572.11 | $553.86 | $18.25 | $2,814.93 |
| 56 | $572.11 | $556.86 | $15.25 | $2,258.07 |
| 57 | $572.11 | $559.88 | $12.23 | $1,698.19 |
| 58 | $572.11 | $562.91 | $9.20 | $1,135.28 |
| 59 | $572.11 | $565.96 | $6.15 | $569.32 |
| 60 | $572.40 | $569.32 | $3.08 | $0.00 |
How a car loan payment is calculated
First work out how much you actually borrow: the vehicle price plus sales tax, minus your down payment and trade-in. That amount is repaid in equal monthly installments using the standard amortization formula.
Financed = Price + Tax − Down − Trade-in · Payment = L × r(1+r)n ÷ ((1+r)n − 1)
Here L is the amount financed, r the APR divided by 12, and n the number of months.
Worked example
A $35,000 car with a $3,000 trade-in is taxed on $32,000. At 7% that adds $2,240. Subtract $5,000 down and the $3,000 trade-in and you finance $29,240. At 6.5% APR over 60 months the payment is $572.11, and you pay $5,086.89 in interest over the life of the loan.
How the term changes the cost
| Term | Effect on payment | Effect on interest |
|---|---|---|
| 36–48 months | Highest | Lowest |
| 60 months | Moderate | Moderate |
| 72–84 months | Lowest | Highest – and higher APRs are common |
Tips to pay less
- Get pre-approved by a bank or credit union before visiting the dealer so you have a rate to beat.
- Negotiate the vehicle price first, then the financing – not the monthly payment.
- Aim for at least 10–20% down to avoid owing more than the car is worth.
- Remember insurance, registration and dealer fees, which are not part of the loan payment shown here.
New vs. used car loans
Used-car loans usually carry higher APRs than new-car loans because the vehicle is worth less as collateral. If a used car costs less but the rate is several points higher, compare the total interest above rather than just the sticker price.
Estimates for educational purposes, not financial advice.
Frequently asked questions
Is sales tax included in my car loan?
In most US states you can roll the sales tax into the loan, which is what this calculator assumes. Paying the tax upfront lowers the amount financed and the interest you pay.
Does a trade-in reduce sales tax?
Most states only tax the difference between the new car price and your trade-in value, which can save hundreds of dollars. A few states, such as California, tax the full price – set the trade-in to zero and add it to the down payment to model that.
Is a 72- or 84-month car loan a good idea?
Longer terms cut the monthly payment but add a lot of interest, and you may owe more than the car is worth for years. Compare 48, 60 and 72 months above to see the trade-off.
What is a good APR for a car loan?
It depends on your credit score and whether the car is new or used. Borrowers with excellent credit typically get the lowest dealer or credit-union rates, while subprime borrowers can pay several times more.