Stretching an auto loan from 60 to 72 months typically drops the monthly payment by $80-$120 on a $30,000 loan but adds roughly $1,300-$2,000 in total interest. Going from 60 to 84 months saves about $150/month but adds closer to $3,500-$4,500 in interest — and leaves you upside-down for 4+ years because the car depreciates faster than the principal pays down. If affordability is tight, always try to increase the down payment before extending the term. The comparison table in our auto loan calculator lets you see the exact trade-off for your numbers.
Auto Loan Calculator
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Updated: April 2026
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AI Insights
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New
directions_car Vehicle & Loan Details
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2026 avg: 7-8% (good credit)
Taxes & Fees
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analytics Your Loan at a Glance
Monthly Payment
$656.83
Payoff: —
Total Interest
$6,634.80
Loan Amount
$32,775.00
Total Cost of Car
$44,409.80
Sales Tax
$2,275.00
Term Comparison
| Term | Monthly | Interest |
|---|
Interpretation
Enter values to see your auto loan summary.
tips_and_updates Tips
- • Put at least 20% down on a new car and 10% on a used car — smaller down payments often leave you upside-down (owing more than the car is worth) for years
- • Compare 60 vs 72 vs 84-month terms in the table below — stretching the term lowers the monthly payment but can add $2,000-$5,000 in total interest
- • A general affordability rule: total car expenses (payment, insurance, gas, maintenance) should be under 15-20% of take-home pay
- • APR and interest rate are not the same — APR includes lender fees, so always compare APR to APR when shopping loans
- • Get pre-approved by a credit union or bank before visiting the dealer — dealer financing is often marked up 1-3% above your best available rate
- • Sales tax is usually calculated on price minus trade-in in most US states — double-check your state's rule since that can save hundreds
- • Avoid rolling negative equity from your old car into the new loan — it guarantees you start the new loan upside-down
- • Gap insurance is worth considering if your down payment is under 20% — it covers the difference between the loan balance and the car's value if it's totaled
How to Use This Calculator
1
Enter the vehicle price
Use the negotiated out-the-door price, not the sticker price.
2
Add your down payment and trade-in
These reduce the amount you need to finance.
3
Enter the APR and choose a loan term
Compare 36, 48, 60, 72, and 84 months in the side-by-side table.
4
Set sales tax and fees
Default is 6.5% tax and $500 in fees — adjust to your state.
5
Review monthly payment and total interest
See your monthly payment, total interest, total cost, and payoff date instantly.
The Formula
First compute the loan amount: add sales tax and fees to the price, then subtract the down payment and trade-in value. Second, apply the standard amortization formula using the monthly interest rate (APR divided by 12 and 100) and the total number of monthly payments. Total interest equals Monthly × n − P, and total cost equals Price + Total Interest + Tax + Fees.
Loan = Price − Down − Trade + (Price × Tax%) + Fees | Monthly = P × r(1+r)^n / ((1+r)^n − 1) where r = APR / 12 / 100, n = months
lightbulb Variables Explained
- Price Vehicle purchase price (sticker or negotiated)
- Down Down payment (cash paid up front)
- Trade Trade-in value credited toward the new car
- Tax% State and local sales tax rate applied to the vehicle price
- Fees Registration, title, and dealer documentation fees
- P Principal loan amount after down payment, trade, tax, and fees
- r Monthly interest rate = APR / 12 / 100
- n Number of monthly payments (loan term in months)
- Monthly Fixed monthly payment that amortizes the loan over n months
tips_and_updates Pro Tips
1
Put at least 20% down on a new car and 10% on a used car — smaller down payments often leave you upside-down (owing more than the car is worth) for years
2
Compare 60 vs 72 vs 84-month terms in the table below — stretching the term lowers the monthly payment but can add $2,000-$5,000 in total interest
3
A general affordability rule: total car expenses (payment, insurance, gas, maintenance) should be under 15-20% of take-home pay
4
APR and interest rate are not the same — APR includes lender fees, so always compare APR to APR when shopping loans
5
Get pre-approved by a credit union or bank before visiting the dealer — dealer financing is often marked up 1-3% above your best available rate
6
Sales tax is usually calculated on price minus trade-in in most US states — double-check your state's rule since that can save hundreds
7
Avoid rolling negative equity from your old car into the new loan — it guarantees you start the new loan upside-down
8
Gap insurance is worth considering if your down payment is under 20% — it covers the difference between the loan balance and the car's value if it's totaled
Dealers often advertise an attractive interest rate that excludes origination and documentation fees. The APR is the only number that includes these costs, and federal Truth-in-Lending rules require it to be disclosed. A 6.9% loan with $800 in fees on a $30,000 balance may carry a 7.5% APR — that half-point difference is worth about $500 over five years. Always shop pre-approvals from a credit union or bank so you walk into the dealer with a competing APR to beat.
Frequently Asked Questions
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Data sourced from trusted institutions
All formulas verified against official standards.