Auto Loan Calculator
Calculate your monthly auto loan payment and see the total cost of financing your vehicle including interest charges.
What is a good interest rate for an auto loan?
Average auto loan rates (2024): New cars 5-7% (excellent credit), 7-10% (good credit), 10-15% (fair credit), 15%+ (poor credit). Used cars are typically 1-2% higher. Credit unions often offer better rates than dealers. Shop around and get pre-approved before visiting dealerships for best rates.
How much should I put down on a car?
Aim for 20% down on new cars, 10% on used cars. This helps avoid being "upside down" (owing more than the car's worth). Larger down payments reduce monthly payments and total interest. If you can't afford 10-20% down, consider a less expensive vehicle or save longer.
What loan term should I choose?
Shorter is better: 36-48 months for used, 48-60 months for new. Avoid 72-84 month loans - lower payments but you pay significantly more interest and risk negative equity. Longer terms mean you're underwater longer. If you need a 72+ month loan, the car is probably too expensive for your budget.
Should I finance through the dealer or my bank?
Get pre-approved at your bank/credit union first for leverage. Dealer financing can have better rates during promotions (0% APR deals), but often markup rates for profit. Compare both. Credit unions typically offer best rates. Never tell dealers you're pre-approved until after negotiating price.