Reckonary / Finance / Car loan

Car loan calculator

Monthly paymentauto loan
6%
60

Estimated monthly payment

$483
Total interest$3,999
Loan amount$25,000

A car loan calculator turns a sticker price into the number that actually matters: your monthly payment. Enter the vehicle price, what you'll put down, any trade-in credit, your sales tax rate, the APR, and the loan term, and you'll see the payment along with how much of the deal is interest versus the amount you borrowed.

How this calculator works

First it works out the amount financed: the vehicle price minus your down payment and trade-in, plus sales tax charged on the price. That balance is then amortized over your term, meaning each month's payment covers interest on the remaining balance plus a slice of the principal. The ledger bar under the result shows how much of your total payments goes to interest.

An example

Take a $30,000 car with $5,000 down, no trade-in, no sales tax, a 6% APR, and a 60-month term. You finance $25,000, and the payment lands near $483 a month. Stretching the same loan to 72 months would lower the monthly payment but add to the interest you pay overall.

Good to know

  • Sales tax here is applied to the full price; your state may tax the price after trade-in.
  • A longer term lowers the monthly payment but increases total interest.
  • The estimate excludes title, registration, and dealer fees, plus insurance.

Frequently asked questions

What does this car loan calculator include?

It finances the vehicle price minus your down payment and trade-in, then adds sales tax charged on the price. That balance is spread over your loan term at the APR you choose.

Is sales tax charged on the trade-in too?

Here, tax is applied to the full vehicle price for simplicity. Many states tax only the price after your trade-in, which lowers the bill, so check your local rule for an exact figure.

What's the difference between APR and interest rate?

The interest rate is the cost of borrowing the money. APR can also fold in certain lender fees, so it's usually a touch higher. This tool treats the rate you enter as the APR used to amortize the loan.

How can I lower my monthly payment?

A larger down payment or trade-in shrinks the amount financed, a longer term spreads it over more months, and a lower APR cuts the interest. A longer term lowers the payment but raises total interest paid.

Last reviewed June 2026. This tool is for education, not financial advice.