Auto Loan Calculator
Estimate your monthly car payments and see the total cost of your vehicle including interest, sales tax, and fees.
How Auto Loans Work in the US
Most auto loans in the United States are simple-interest loans, meaning interest is calculated on the principal balance daily. Our calculator helps you understand the impact of your down payment and trade-in on your monthly budget.
The Tax Advantage of Trade-ins
In many US states, you only pay sales tax on the difference between your new car's price and your trade-in value. This can save you hundreds of dollars in upfront costs.
Auto Loan FAQs
What is a good auto loan interest rate?
As of 2026, good interest rates for new cars typically range from 5% to 7% for those with excellent credit. Used car rates are usually 1-2% higher.
How does a trade-in affect my loan?
A trade-in reduces the purchase price of your new vehicle, which lowers the amount you need to borrow and can also reduce the sales tax you pay in many US states.
Should I choose a 72-month or 84-month loan?
While longer terms lower your monthly payment, they significantly increase the total interest you pay and increase the risk of being "underweight" (owing more than the car is worth).
US Car Buying Checklist
- ✓ Get pre-approved by a credit union
- ✓ Know your credit score
- ✓ Factor in insurance costs
- ✓ Check for hidden dealer fees