Free Auto Loan Calculator

Auto Loan Calculator

Calculate your exact monthly car payment — including trade-in value, down payment, sales tax, and dealer fees. Works for both new and used vehicles.

6.93%Avg new car
60-month loan
11.87%Avg used car
all credit tiers
Bankrate / Experian, Mar 2026

Auto Loan Payment Calculator

Vehicle & Loan Details

Vehicle Price before tax & fees
$
Down Payment $5.0K
$
Trade-In Value reduces loan amount
$
Loan Amount (after down + trade-in)$29,420.00
Interest Rate (APR)Avg new: 6.93%
%
Loan Term

Optional — taxes & fees

Sales Tax Rate varies by state
%
Dealer / DMV Fees doc, registration, etc.
$

Enter your vehicle details and click Calculate

How to Use This Auto Loan Calculator

Enter the vehicle price, your down payment, trade-in value, interest rate, and loan term to see your monthly car payment instantly. Optionally add your state's sales tax rate and dealer fees for a complete financing picture.

Auto Loan Rates by Credit Score (2026)

Your credit score is the biggest factor in your auto loan rate. Data from Experian's State of the Automotive Finance Market (Q4 2025):

Credit TierNew CarUsed Car
Super Prime (781–850)4.66%6.82%
Prime (661–780)6.51%9.67%
Near Prime (601–660)9.41%13.63%
Subprime (501–600)13.08%18.39%
Deep Subprime (300–500)16.01%21.58%

Source: Experian via U.S. News, Q4 2025. Rates vary by lender and term.

Loan Term Comparison: 48 vs 60 vs 72 Months

Longer loan terms lower your monthly payment but cost more in total interest and increase your risk of negative equity. Here's how term length affects a $30,000 loan at 6.93% APR:

48 months
$716/mo$4,368 interest$34,368 total
60 months
$594/mo$5,640 interest$35,640 total
72 months
$513/mo$6,936 interest$36,936 total
84 months
$454/mo$8,136 interest$38,136 total

New Car vs. Used Car Financing

New cars offer lower interest rates and manufacturer incentives — sometimes 0% APR for qualified buyers. Used cars cost less upfront but typically carry higher rates and shorter maximum loan terms. The CFPB's auto loan guide recommends comparing at least three lenders before financing any vehicle.

Understanding Auto Loan Total Cost

The true cost of buying a car goes beyond the sticker price. Factor in sales tax (0%–9.75% depending on your state), documentation fees ($85–$895), registration fees, and optional extended warranties. This calculator includes sales tax and dealer fees in your loan amount so you see the full picture.

Tips to Get the Best Auto Loan Rate

  • Check your credit first. Pull your free report at AnnualCreditReport.com. Even a 20-point credit score improvement can lower your rate by 1–2%.
  • Get pre-approved before the dealer. Your bank or credit union pre-approval is a powerful negotiating tool.
  • Shop multiple lenders. Rates vary by 2–4% between lenders for the same borrower. Check banks, credit unions, and online lenders.
  • Put more down. 20% down on a new car reduces your loan, lowers your rate risk, and prevents negative equity.
  • Keep the term short. 60 months or less is recommended by most financial advisors.
FAQ

Auto Loan Calculator — Common Questions

What is the average auto loan interest rate in 2026?
As of March 2026, the average 60-month new car loan rate is 6.93% per Bankrate's national survey. For used cars, the average across all credit tiers is 11.87% per Experian data. Super-prime borrowers (credit 780+) average just 4.66% on new vehicles, while deep subprime borrowers pay up to 16%.
How does a trade-in affect my car loan?
Your trade-in value reduces the amount you need to finance. Example: buying a $32,000 car with an $8,000 trade-in means you only finance $24,000 (minus your down payment). This reduces your monthly payment, total interest, and the time to pay off the loan. Dealers are required to disclose the trade-in value separately under federal law.
Should I get a 60-month or 72-month car loan?
A 60-month loan has higher monthly payments but significantly less total interest. A 72-month loan lowers your payment but costs more and risks leaving you underwater as cars depreciate 20%+ in year one. On a $30,000 loan at 7%: 60 months = $594/mo, $5,640 interest. 72 months = $513/mo, $6,936 interest — $1,296 more for the longer term.
Is dealer financing or bank/credit union financing better?
Compare both. Dealers sometimes offer 0% APR on new vehicles for qualified buyers — unbeatable if you qualify. For used cars and average credit, banks and credit unions typically beat dealer rates. Get pre-approved from your bank before visiting the dealer. This gives you a baseline rate and stronger negotiating position.
How much should I put down on a car?
Experts recommend 20% down on new cars and 10% on used. This protects you against depreciation — new cars lose 15–20% of value in year one. A solid down payment means you're less likely to owe more than the car is worth, lowers your monthly payment, and reduces total interest paid.
Does this calculator include sales tax?
Yes. Enter your state's sales tax rate and the calculator adds it to the loan amount automatically. Sales tax on vehicles ranges from 0% in states like Oregon, Montana, and New Hampshire to over 9% in some California and Tennessee counties. Check your state DMV website for your exact rate.

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