Auto Loan Calculator
Estimate your monthly auto loan payment based on price, down payment, trade-in, interest rate, and term. Free, privacy-first — inputs never leave your browser.
Loan Details
Results
Monthly Payment
$701
Principal
$35,000
Total Interest
$7,080
Total Paid
$42,080
For estimation only. Not professional financial, tax, or legal advice. Consult a qualified advisor before making decisions. Full disclaimer.
Auto loan basics
Auto loans are typically 36-84 months with rates from 6.5% (prime) to 18% (subprime). Shorter terms save thousands in interest. Avoid financing past what the car will be worth — 72+ month terms often leave you "underwater" (owing more than the car).
Common questions about Auto Loan
What is a typical auto loan rate?+
As of 2026, new car rates run 6.5%-9% for prime borrowers, 11-18% for subprime. Used car rates are 1-3% higher. Credit unions often beat dealer financing by 1-2%.
What term should I pick?+
48-60 months is the sweet spot — avoids being "underwater" (owing more than the car is worth). 72-84 month loans save monthly but cost much more interest and leave you upside-down for years.
How much should I put down?+
20% is traditional wisdom; 10-15% is acceptable. Lower down payments mean higher monthly payments, more interest, and potential negative equity from day one due to depreciation.
Should I buy or lease?+
Buying via a loan builds equity — you own the car at the end and can sell it. Leasing is essentially a 2-3 year rental with lower monthly payments (typically $100-$200 less for the same car) but no ownership. Lease if: you want a new car every 2-3 years, drive under 12k miles/year, prioritize low monthly payment. Buy if: you keep cars 5+ years, drive heavily, or care about total cost. Over 10 years, buying usually saves $20k-$40k vs continuous leasing.
Does the auto loan interest get a tax deduction?+
For personal vehicles: no. For vehicles used for business (self-employed, rideshare, delivery): yes — interest is deductible proportionally to business use under Section 162. Alternatively, use the standard mileage rate ($0.70/mile in 2025) which bundles interest, depreciation, and other costs. Keep a logbook. Electric vehicles may qualify for the $7,500 federal tax credit (Clean Vehicle Credit) which reduces effective purchase price.
How does my credit score affect the rate?+
Hugely. FICO 780+ (Super Prime): 6.5%-7.5% on new cars. 720-779 (Prime): 7.5%-9%. 660-719 (Near Prime): 9%-12%. 580-659 (Subprime): 13%-18%. Below 580 (Deep Subprime): 18%-25%+. Each 20-point FICO improvement can save $1,000-$3,000 in lifetime interest on a 5-year $30k loan. Shop multiple lenders within a 14-day window — FICO treats all auto inquiries as one hard pull.