GetToolr

How to Use This Calculator

Enter the vehicle price, your down payment, and any trade-in value. Select a loan term and interest rate to see your monthly payment. The depreciation section shows how the car's value drops over time compared to what you owe, helping you understand when you might be underwater on the loan.

Calculator

Car Loan Calculator

Calculate monthly payments, total interest, and see your amortization schedule for any auto loan.

Vehicle & Pricing

$
$
$
%

Loan Terms

%
$

Vehicle Depreciation Estimate

Average vehicle loses 20% in year 1, 40% by year 3, 60% by year 5.

Year 1

$28,000

-20%

Year 3

$21,000

-40%

Year 5

$14,000

-60%

Monthly Payment

$635

Loan Summary

Vehicle + Tax$37,450
Down + Trade-In$5,000
Loan Amount$32,450
Total Interest$5,645
Total Cost$43,095

Smart Car Financing Tips

The biggest mistake car buyers make is focusing only on the monthly payment. Dealers love stretching terms to 72 or 84 months to make the payment look affordable, but you end up paying thousands more in interest and risk being underwater for years. Always look at the total cost, not just the monthly number.

The 20/4/10 rule

Financial advisors recommend: put at least 20% down, finance for no more than 4 years (48 months), and keep total transportation costs (payment + insurance + gas + maintenance) under 10% of your gross monthly income.

Frequently Asked Questions

What is a good interest rate for a car loan in 2026?
For new cars, excellent credit (740+) gets rates around 4.5-6%. Good credit (670-739) typically sees 6-8%. Used cars are usually 1-2% higher. Credit unions often offer the best rates compared to dealership financing.
Should I get a 60-month or 72-month car loan?
Shorter terms save you money in interest but have higher monthly payments. A 60-month loan on $30,000 at 6.5% costs about $587/month with $5,200 in interest. A 72-month loan drops to $504/month but costs $6,300 in interest. Avoid 84-month loans as you risk being underwater (owing more than the car is worth) for years.
How much should I put down on a car?
Aim for at least 20% down on a new car and 10% on a used car. This reduces the loan amount, lowers your monthly payment, and helps you avoid being underwater on the loan. A larger down payment also often qualifies you for better interest rates.
Is it better to finance through the dealer or my bank?
Get pre-approved at your bank or credit union first, then see if the dealer can beat that rate. Dealers sometimes offer promotional 0% APR on new cars, which is hard to beat. But their standard rates are often higher than what you can get independently. Having a pre-approval gives you negotiating leverage.

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