Auto Loan Calculator
Free auto loan calculator: monthly car payment, total interest, and amortization. Enter price, term and APR for instant results. No signup.
Loan parameters
Amount$
Interest rate7.2%
Term72mo.
Payment type
Monthly payment
600$
Loan amount
35,000$
Total payment
43,206$
Total interest
8,206$
% interest
23.4%
Payment breakdown
annuity · 72 mo.Principal35,000 $81%
Interest8,206 $19%
Total paid43,206 $
What it shows
The loan calculator computes the annuity payment — equal monthly installments over the entire loan term. This is the most common amortization scheme for consumer loans.
FAQ
What's included in the total cost? +
The total cost includes principal, interest over the full term, insurance and fees. Lenders must disclose the APR in the contract.
How is the monthly payment calculated? +
Formula: P = S · r·(1+r)ⁿ / ((1+r)ⁿ−1), where r is the monthly rate and n is the number of months.
How does it differ from a differentiated payment? +
Annuity = equal payments over the term, higher total interest. Differentiated = decreasing payments, lower total interest but higher initial payments.
FAQ
How is the monthly loan payment calculated?
With the amortization formula: P = S · (i · (1+i)^n) / ((1+i)^n − 1), where S is the loan amount, i is the monthly interest rate (annual rate / 12 / 100), and n is the number of months. This produces equal monthly payments over the full term.
What is APR and how does it differ from the interest rate?
APR (Annual Percentage Rate) reflects the total yearly cost of the loan including the interest rate plus most fees (origination, processing). It is usually higher than the nominal interest rate and is the most reliable number for comparing loan offers.
Can I pay off a loan early without penalty?
Most consumer loans in the US allow early payoff. A few lenders charge a prepayment penalty, so check your loan agreement. Paying extra toward principal reduces the total interest you pay over the life of the loan.
What affects the total interest I pay?
The loan amount, the interest rate, and the term. A longer term lowers the monthly payment but increases total interest. A shorter term costs more per month but far less overall.