Calculate your car loan payment with down payment and trade-in value.
To calculate your car loan payment:
The calculator instantly shows your monthly payment, total interest paid, and total cost of the loan.
The monthly payment is calculated using the standard amortization formula:
M = L × r(1 + r)^n / ((1 + r)^n − 1)
Total interest = (M × n) − L. Total cost = M × n + down payment.
Example: You buy a $30,000 car with a $5,000 down payment at 5% APR for 60 months.
$30,000 − $5,000 = $25,0000.05 / 12 = 0.004167As of 2024, a good rate for a new car is roughly 5–7% APR for borrowers with good credit. Used-car rates are typically 1–2% higher. Credit unions often offer lower rates than dealerships.
A shorter term (36–48 months) means higher monthly payments but significantly less total interest. A longer term (60–72 months) lowers monthly costs but increases the total amount you pay over the life of the loan.
A trade-in reduces the amount you need to borrow. If your trade-in is worth $5,000, your loan principal drops by that amount, lowering both your monthly payment and total interest paid.