Car loan calculator

*Title and other fees and incentives are not included in this calculation, which is an estimate only. Monthly payment estimates are for informational purpose and do not represent a financing offer from the seller of this vehicle. Other taxes may apply. About your privacy: Cars.com is asking for your ZIP and credit rating because it helps us to make an educated guess at your sales tax and loan interest. These two factors can greatly change your monthly payment. Car loan FAQ How do car loans work? When you secure a car loan from a financial institution, you borrow the money required to purchase the car and pay it back over time with an annual percentage interest rate. What’s the term on a car loan? The car loan term is the length of time that you’ll be paying back the amount of money you borrowed. This typically ranges from 12 to 84 months in 12-month increments. What’s the interest rate on a car loan? The car loan interest rate is an annual percentage of the amount of money that you finance. It serves as the price you pay for borrowing money from a financial institution. What’s sales tax on a car purchase? Sales tax is a percentage of the car price that you owe to your state. Be sure to research how sales tax works for car purchases in your state – some states charge tax on the full price of the car you’re buying, while others charge no tax at all. Most states, however, allow a trade-in credit to offset the taxable amount of a car purchase. What's the trade-in value of a ca...

You’re our first priority. Every time. We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free. So how do we make money? Our partners compensate us. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. Dawnielle Robinson-Walker spent 16 years as a college English instructor, teaching creative writing and African-American literature before she began writing and editing for various companies and online publications. Prior to joining NerdWallet, she was an editor at Hallmark Cards and a contributing writer at Forbes Health. For example, if you borrowed $20,000 for 60 months and your APR was 5%, your payment would be $377.42. If you pay that amount the first $83 goes to interest and the principal is reduced by $294. Then the next month, the amount you pay interest on would be $19,706, not $20,000. The amortization calculator shows your balance and interest paid at any time during the course of your loan. Disclaimer: NerdWallet strives to keep its information accurate a...

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • Miscellaneous Misc. • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • A car loan, or auto loan, is a contract between a borrower and a lender, where the lender provides cash to a borrower to purchase a vehicle on the condition that the borrower pays the lender back with the principal and interest over a certain period of time. The borrower makes payments that are calculated by using the formula for an Example Suppose you wish to purchase a car that costs $32,000 after tax. The trade-in value of your current car is $10,000, and right now, you only have enough saved to be able to make a down payment of $2,000, which means that you will be financing the remaining $20,000. The bank you are working with has offered you a fixed interest rate of 5.0% annually on a 60-month, $20,000 loan. We will use the ordinary annuity formula to calculate each monthly payment. The present value here is $20,000, which is the value of the loan. The annual interest rate is 5.0%, so the monthly rate is 5.0% divided by twelve. The number of auto loan payments is 60. The work to calculate monthly payments is shown below: This means that every month you will pay $377.42 for your shiny new car.

Rates displayed do not include the additional scroll toPreferred Rewards section interest rate discount up to 0.50%. Advertised as low as APR (Annual Percentage Rate) assumes excellent borrower credit history. Your actual APR may differ based on your credit history, approved loan amount, term, state of residence and applicable discounts, such as scroll toPreferred Rewards section. These discounts will be reflected in your individual APR quote if you are approved for a loan. No loan documentation fee, but title and state fees may apply. navigate toOur online application allows you to select terms of 48, 60 or 72 months; you can discuss other terms with your loan officer after your application is submitted. View our navigate toBank of America auto loan eligibility requirements for information about minimum amounts financed, applicant eligibility and more. The figures entered on the input page of this calculator are for hypothetical purposes only. You should enter figures that are appropriate to your individual situation. The results provided by this calculator are also intended for illustrative purposes only and accuracy is not guaranteed. Bank of America and its affiliates are not tax or legal advisers. This calculator is not intended to offer any tax, legal, financial or investment advice and does not assure the availability of or your eligibility for any specific product offered by Bank of America, its affiliates or any other institution, nor does this calculator predict ...

This tool will help you approximate the monthly payments on your next auto purchase. First input the price of the vehicle, along with your down payment, trade-in allowance, interest rate, and the total number of monthly payments. Click on CALCULATE, and you’ll receive an estimated amount for your monthly payment, as well as the total amount you’ll need to borrow from a lender. What You Need to Know When Buying a Vehicle If you've never purchased an automobile before, or even if you have, you should know that the process is anything but simple. This purchase entails a major expense, and although many consumers assume that a vehicle is an asset, the truth is that you're paying for a tool, plain and simple, one that transports you from point A to point B. Automobiles don't gain value (unless you get a classic and restore it, but even then you're probably putting a lot of money into the project). So you need to take great care to select a vehicle that suits both your budget and your purposes. Whether you opt for a modern model or you go for a classic beauty, there are things you need to know going into the process. Here are the key points to consider when you're planning to purchase a new or used car. Get pre-approved You can absolutely finance through a dealer if you so choose, and many consumers opt to go this route when purchasing a car, be it new or old. But the truth is that you have more bargaining power when you show up with a pre-approved loan in your back pocket. And ...

home / financial / loan calculator Loan Calculator A loan is a contract between a borrower and a lender in which the borrower receives an amount of money (principal) that they are obligated to pay back in the future. Most loans can be categorized into one of three categories: • Amortized Loan: Fixed payments paid periodically until loan maturity • Deferred Payment Loan: Single lump sum paid at loan maturity • Bond: Predetermined lump sum paid at loan maturity (the face or par value of a bond) Amortized Loan: Fixed Amount Paid Periodically Many consumer loans fall into this category of loans that have regular payments that are amortized uniformly over their lifetime. Routine payments are made on principal and interest until the loan reaches maturity (is entirely paid off). Some of the most familiar amortized loans include mortgages, car loans, student loans, and personal loans. The word "loan" will probably refer to this type in everyday conversation, not the type in the second or third calculation. Below are links to calculators related to loans that fall under this category, which can provide more information or allow specific calculations involving each type of loan. Instead of using this Loan Calculator, it may be more useful to use any of the following for each specific need: Deferred Payment Loan: Single Lump Sum Due at Loan Maturity Many commercial loans or short-term loans are in this category. Unlike the first calculation, which is amortized with payments spread un...

• Many car buyers take out a loan to finance their purchase, either from the dealer or through a bank. • The loan payments will be based primarily on the price of the car, whether it is new or used, the down payment, the length of the loan, and your credit score. • Use the auto loan interest calculator before you head to the car lot so you'll be ready to find a car that fits your budget and negotiate the best deal. Auto Loan Payment Calculator Results Explained To use the car loan interest calculator, enter a few details about the loan, including: • Vehicle cost: The amount you want to borrow to buy the car. If you plan to make a down payment or trade-in, subtract that amount from the car's price to determine the loan amount. • Term: The amount of time you have to repay the loan. In general, the longer the term, the lower your monthly payment, but the higher the total interest paid will be. On the other hand, the shorter the term, the higher your monthly payment, and the lower the total interest paid will be. • New/Used: Whether the car you want to buy is new or used. If you don't know the interest rate, this can help determine the rate you'll get (interest rates tend to be higher for used cars). • Interest rate: The cost to borrow the money, expressed as a percentage of the loan. • Total monthly payment: The amount you'll pay each month for the duration of the loan. Some of each monthly payment goes toward paying down the principal, and part applies to interest. • Total p...

Calculator Use Use this calculator to find how much your monthly car payments will be. Also calculates total payments and total interest paid on your auto loan. Create and print out your loan amortization schedule. Car Loan Amount The amount you will borrow Car Loan Term How long is this loan going to be for? Interest Rate This is annual interest rate of the loan stated by the bank or lending institution To include car price, down payment and trade-in value use this