Auto Loan Calculator
Estimate your monthly car payment the way a dealership actually structures the deal: vehicle price, minus trade-in and down payment, plus sales tax and fees financed into the loan — with total interest and the true all-in cost of the vehicle.
Car payment
Example: $35,000 car, $5,000 trade-in, $3,000 down at 7% for 5 years ≈ $580.18/mo.
How the financed amount is built
Dealers start from the price, subtract your trade-in and down payment, then add sales tax and fees. In the worked example — a $35,000 car with a $5,000 trade-in and $3,000 down, 6% tax and $500 in fees — tax applies to the $30,000 after trade-in ($1,800), and the financed amount comes to $29,300. At 7% over 60 months that's $580.18 a month, $5,511 of interest, and a true all-in vehicle cost of $42,811. Every figure is computed by the same tested engine as the calculator above.
The long-loan trap
Stretching to 72 or 84 months shrinks the payment but grows the interest and keeps you "upside down" — owing more than the depreciating car is worth — for years. Compare the total-interest line across terms before deciding: the difference between 60 and 84 months on the same car often funds a year of insurance.
Before you're in the finance office
Get a pre-approved rate from a bank or credit union first — it gives you a benchmark the dealer has to beat and converts the finance-office conversation into a comparison instead of a sales pitch. Then negotiate the price of the car, not the monthly payment: any payment can be manufactured with a long enough term. Check the fee-adjusted cost of competing offers with the APR Calculator.
Frequently asked questions
Why is my loan bigger than the car price minus my down payment?
Sales tax and dealer fees are usually rolled into the financed amount. In most US states, tax applies to the price minus your trade-in — one of the underrated financial benefits of trading in rather than selling privately (state rules vary).
What loan term should I choose?
Shorter terms cost less overall: 72- and 84-month loans lower the payment but add thousands in interest and increase the time you owe more than the car is worth. A common guideline is to keep the term at or below 60 months if the payment fits your budget.
What is being "upside down" on a car loan?
Owing more than the car is worth, which happens when depreciation outpaces your principal payments — most likely with small down payments and long terms. A bigger down payment and shorter term keep you right-side up sooner.
Should I finance the taxes and fees or pay them upfront?
Paying them upfront keeps them out of the loan, so you avoid paying interest on tax. Financing them preserves cash. The calculator rolls them into the loan (the common dealership default) so you can see that full-financing case.
Not financial advice: a general educational estimate. Sales-tax rules vary by state (some tax the full price before trade-in), and actual rates depend on your credit. Values are processed locally in your browser and never transmitted. See the methodology page.