Debt PayoffGuide
APR vs. Interest Rate on a Loan: What's the Difference and Why APR Is Higher
A 16% interest rate can be a 19.5% APR once fees are added. Here's the difference, the math behind it, and how to compare loan offers the right way.
Auto Loan Calculator
Estimate your monthly car payment, total interest, and the all-in cost of financing a vehicle. Adjust the price, down payment, rate, and term — the figures update instantly, and you can export the schedule to Excel or share it with a link.
Monthly car payment
$621.18
- Loan amount
- $31,000.00
- Total interest
- $6,270.58
- Total cost
- $41,270.58
$
$
%
months
5 yrPayment breakdown over time
How this is calculatedmethodology
Each month, interest is charged on the remaining balance and the rest of your payment reduces the principal, so the balance falls a little faster every month.
M = P · r · (1 + r)ⁿ / ((1 + r)ⁿ − 1)
- P
- Loan amount = vehicle price − down payment.
- r
- Monthly interest rate = annual rate ÷ 12.
- n
- Number of monthly payments.
- Fixed rate
- Equal monthly payments
View full amortization schedule60 months
| Month | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $621.18 | $427.43 | $193.75 | $30,572.57 |
| 2 | $621.18 | $430.10 | $191.08 | $30,142.48 |
| 3 | $621.18 | $432.79 | $188.39 | $29,709.69 |
| 4 | $621.18 | $435.49 | $185.69 | $29,274.20 |
| 5 | $621.18 | $438.21 | $182.96 | $28,835.99 |
| 6 | $621.18 | $440.95 | $180.22 | $28,395.03 |
| 7 | $621.18 | $443.71 | $177.47 | $27,951.33 |
| 8 | $621.18 | $446.48 | $174.70 | $27,504.85 |
| 9 | $621.18 | $449.27 | $171.91 | $27,055.58 |
| 10 | $621.18 | $452.08 | $169.10 | $26,603.50 |
| 11 | $621.18 | $454.90 | $166.27 | $26,148.59 |
| 12 | $621.18 | $457.75 | $163.43 | $25,690.84 |
| 13 | $621.18 | $460.61 | $160.57 | $25,230.24 |
| 14 | $621.18 | $463.49 | $157.69 | $24,766.75 |
| 15 | $621.18 | $466.38 | $154.79 | $24,300.36 |
| 16 | $621.18 | $469.30 | $151.88 | $23,831.06 |
| 17 | $621.18 | $472.23 | $148.94 | $23,358.83 |
| 18 | $621.18 | $475.18 | $145.99 | $22,883.65 |
| 19 | $621.18 | $478.15 | $143.02 | $22,405.50 |
| 20 | $621.18 | $481.14 | $140.03 | $21,924.35 |
| 21 | $621.18 | $484.15 | $137.03 | $21,440.20 |
| 22 | $621.18 | $487.18 | $134.00 | $20,953.03 |
| 23 | $621.18 | $490.22 | $130.96 | $20,462.81 |
| 24 | $621.18 | $493.28 | $127.89 | $19,969.53 |
| 25 | $621.18 | $496.37 | $124.81 | $19,473.16 |
| 26 | $621.18 | $499.47 | $121.71 | $18,973.69 |
| 27 | $621.18 | $502.59 | $118.59 | $18,471.10 |
| 28 | $621.18 | $505.73 | $115.44 | $17,965.37 |
| 29 | $621.18 | $508.89 | $112.28 | $17,456.47 |
| 30 | $621.18 | $512.07 | $109.10 | $16,944.40 |
| 31 | $621.18 | $515.27 | $105.90 | $16,429.13 |
| 32 | $621.18 | $518.49 | $102.68 | $15,910.63 |
| 33 | $621.18 | $521.73 | $99.44 | $15,388.90 |
| 34 | $621.18 | $525.00 | $96.18 | $14,863.90 |
| 35 | $621.18 | $528.28 | $92.90 | $14,335.62 |
| 36 | $621.18 | $531.58 | $89.60 | $13,804.05 |
| 37 | $621.18 | $534.90 | $86.28 | $13,269.14 |
| 38 | $621.18 | $538.24 | $82.93 | $12,730.90 |
| 39 | $621.18 | $541.61 | $79.57 | $12,189.29 |
| 40 | $621.18 | $544.99 | $76.18 | $11,644.30 |
| 41 | $621.18 | $548.40 | $72.78 | $11,095.90 |
| 42 | $621.18 | $551.83 | $69.35 | $10,544.07 |
| 43 | $621.18 | $555.28 | $65.90 | $9,988.80 |
| 44 | $621.18 | $558.75 | $62.43 | $9,430.05 |
| 45 | $621.18 | $562.24 | $58.94 | $8,867.81 |
| 46 | $621.18 | $565.75 | $55.42 | $8,302.06 |
| 47 | $621.18 | $569.29 | $51.89 | $7,732.77 |
| 48 | $621.18 | $572.85 | $48.33 | $7,159.92 |
| 49 | $621.18 | $576.43 | $44.75 | $6,583.50 |
| 50 | $621.18 | $580.03 | $41.15 | $6,003.47 |
| 51 | $621.18 | $583.65 | $37.52 | $5,419.81 |
| 52 | $621.18 | $587.30 | $33.87 | $4,832.51 |
| 53 | $621.18 | $590.97 | $30.20 | $4,241.54 |
| 54 | $621.18 | $594.67 | $26.51 | $3,646.87 |
| 55 | $621.18 | $598.38 | $22.79 | $3,048.49 |
| 56 | $621.18 | $602.12 | $19.05 | $2,446.36 |
| 57 | $621.18 | $605.89 | $15.29 | $1,840.48 |
| 58 | $621.18 | $609.67 | $11.50 | $1,230.80 |
| 59 | $621.18 | $613.48 | $7.69 | $617.32 |
| 60 | $621.18 | $617.32 | $3.86 | $0.00 |
How to use the auto loan calculator
- Enter the vehicle price, your down payment (or trade-in value), and the interest rate.
- Choose a term — shorter terms cost more monthly but less overall.
- Review the monthly payment, total cost, and total interest.
TipGet pre-approved for financing before visiting the dealer so you can compare their offer fairly.
How to use the auto loan calculator
Enter the vehicle price and your down payment — the difference is the amount you finance. Set the annual interest rate your lender or dealer quoted and pick a term in months. The large readout shows your estimated monthly car payment, and the cells below break out the loan amount, the total interest, and the total cost of the car including that interest.
Open the amortization schedule to see exactly how each month splits between interest and principal, and how your balance falls over time. Early payments lean heavily toward interest; later payments are mostly principal. Use the export buttons to download the full schedule as a real Excel workbook or CSV, print it to PDF, or copy a link that reopens the calculator with your exact numbers.
How it works and what the number means
An auto loan is an amortizing loan: you pay the same amount every month, but the portion going to interest shrinks as your balance falls, so more of each payment chips away at the principal. The monthly payment is the level amount that brings your balance to exactly zero at the end of the term.
The biggest levers on your payment are the down payment, the interest rate, and the term. A larger down payment or a shorter term cuts the total interest, while a longer term trades a smaller monthly payment for more interest over the life of the loan. This estimate covers principal and interest only; remember to budget for tax, registration, insurance, fuel, and maintenance to gauge your true cost of ownership.
Estimates for education only — not a loan offer or financial advice. Actual payments depend on your lender, credit, taxes, fees, and terms.
Frequently asked questions
How is my monthly car payment calculated?
The calculator subtracts your down payment from the vehicle price to get the loan amount, then applies the standard amortization formula M = P·r·(1+r)^n / ((1+r)^n − 1), where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12), and n is the number of monthly payments. The result is the fixed payment that fully repays the loan over the term.
How much should I put down on a car?
A larger down payment lowers the loan amount, which reduces both your monthly payment and the total interest you pay. A common guideline is 20% down on a new car or 10% on a used one, which also helps you avoid owing more than the car is worth. Try different down payment values and watch the total interest and monthly payment change.
Does this include taxes, fees, and insurance?
No. This estimate covers the loan principal and interest only. Sales tax, registration, dealer fees, and ongoing costs like insurance, fuel, and maintenance are separate. If your taxes and fees are rolled into the loan, add them to the vehicle price to see their effect on the payment.
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