How much will a car loan actually cost? This calculator shows the full picture: monthly payment, total interest over the life of the loan, the period-by-period amortization schedule, and how much a bigger down payment saves — the lever most auto-loan shoppers actually control.
Quick answer: Plug in vehicle price, down payment, term, and rate. See the monthly payment, total interest, the full period-by-period schedule, and the down-payment trade-off.
Amount financed = vehicle price − down payment Monthly payment = P × r × (1+r)^n / ((1+r)^n − 1) [standard amortizing formula] where P = amount financed, r = annual rate ÷ 12, n = term in months Total payback = monthly payment × n Total interest = total payback − amount financed Per-period: interest = beginning balance × r ; principal = payment − interest ; ending balance = beginning balance − principal
Assumptions
Amount financed: $31,500. Monthly payment ≈ $626. Total interest over life ≈ $6,049.
Amount financed: $22,000. Monthly payment ≈ $377. Total interest over life ≈ $5,112 — notably more than the shorter-term example above despite the smaller loan, illustrating the term-length trade-off.
It uses the standard amortizing-loan formula: Monthly payment = P × r × (1+r)^n / ((1+r)^n − 1), where P is the amount financed (vehicle price minus down payment and trade-in equity), r is the monthly interest rate (annual rate ÷ 12), and n is the term in months. Nearly all auto loans are fully amortizing with a fixed rate and fixed monthly payment.
The Federal Reserve's G.19 Consumer Credit release puts the average 60-month commercial-bank new-car loan rate at 7.14% (data through May 2026); the 72-month rate runs slightly lower at 6.97%, and finance-company new-car loans average 6.1%. Actual offers vary by credit score, loan term, and whether the vehicle is new or used — used-car rates typically run higher than new-car rates. The lender decides your specific rate on file.
It reduces both the amount financed and the total interest paid, since interest accrues only on the outstanding balance. The down-payment comparison table in this calculator shows the exact dollar trade-off at 0%, 10%, and 20% down for your specific vehicle price, rate, and term — on a typical purchase, moving from 0% to 20% down can cut total interest by roughly a third.
Both are legitimate depending on your binding constraint. Shorter term = less total interest, more monthly burden. Longer term = more total interest, less monthly burden — and a longer term also raises the risk of being "upside down" (owing more than the car is worth) for longer, since vehicles depreciate faster than a stretched loan pays down principal. The comparison table in this calculator shows the dollar trade-off directly.
No — it shows loan interest only, based on the amount financed you enter. Sales tax, title/registration fees, and dealer document fees are typically rolled into the amount financed at the dealership, which increases the loan amount and therefore the payment and total interest beyond what this calculator shows for the vehicle price alone.
Not necessarily. ClearValue Lending is a funding platform, not a lender — your actual rate is set by the lender after underwriting reviews your credit score, income, the vehicle, and loan term. Pre-qualification checks (which typically use a soft pull) narrow the range, but the final rate lands with the offer. Use this calculator to pressure-test what a given rate means in dollars, not to predict your exact rate.