A cash rebate reduces the loan. A trade-in's value (minus what you still owe on it) is net equity; if you owe more than it is worth, that is negative equity.
$
Manufacturer or dealer cash reduces the amount financed.
$
The allowance for your current vehicle.
$
The loan still owed on the trade.
Net trade-in equity of $6,000 is applied like a down payment.
Ownership costs (optional)None yetEdit
Add estimated monthly insurance, fuel/energy, and maintenance to see your true monthly cost of ownership — these are not part of the loan.
Based on an assumed 18%/yr depreciation, the loan balance is projected to stay at or below the vehicle's value for the whole term — so you are unlikely to be underwater.
Educational estimate — taxes, fees, rebates, and lender terms vary. Not a loan offer.
Deal breakdown
How the amount financed and the cash due today are built from the price, taxes, fees, rebate, and trade-in.
Auto loan deal breakdown in USD
Vehicle pricecash
+ $35,000
Less: cash rebate / incentivereduces loan
− $1,500
Taxable amount (after trade-in credit)
$25,000
Sales tax (7%)financed
+ $1,750
Dealer / documentation feesfinanced
+ $600
Title & registration feesfinanced
+ $400
Less: down paymentreduces loan
− $5,000
Less: net trade-in equityreduces loanTrade-in value minus what you still owe on it.
− $6,000
Amount financed
$25,250
Amount financed
$25,250
Upfront due today
$5,000
Total purchase cost
$37,750
Price + tax + fees
Total out-of-pocket
$34,643
All cash you pay
Sales / VAT tax treatment of trade-ins and rebates varies by state/region. This taxes the price less the trade-in value (when the trade-in tax credit is on) and does not reduce the taxable price by the rebate. Confirm your local rule.
Visual breakdown
Each chart has a data table beneath it for exact figures and screen readers.
Principal vs interest
How much of the loan is the amount financed versus interest.
Principal vs interest
Amount
Principal financed
$25,250
Interest
$4,393
You finance $25,250 and pay $4,393 in interest.
Show data table
Principal vs interest — data table
Amount
Principal financed
$25,250
Interest
$4,393
Total cost breakdown
What makes up the money you spend: vehicle (net of rebate), tax, fees, and interest.
Total cost breakdown
Component
Amount
Vehicle
$33,500
Tax
$1,750
Fees
$1,000
Interest
$4,393
Tax, fees, and interest add $7,143 on top of the vehicle.
Show data table
Total cost breakdown — data table
Component
Amount
Vehicle
$33,500
Tax
$1,750
Fees
$1,000
Interest
$4,393
Loan balance vs vehicle value
Your loan balance falling, against an estimated vehicle value. Where the balance is above the value, you are underwater.
Balance vs value
Month
Balance
Value
1
$24,893
$34,426
3
$24,172
$33,306
5
$23,444
$32,222
7
$22,708
$31,174
9
$21,964
$30,160
11
$21,212
$29,179
13
$20,451
$28,229
15
$19,683
$27,311
17
$18,906
$26,422
19
$18,120
$25,563
21
$17,326
$24,731
23
$16,524
$23,926
25
$15,713
$23,148
27
$14,892
$22,395
29
$14,063
$21,666
31
$13,225
$20,961
33
$12,378
$20,279
35
$11,522
$19,620
37
$10,656
$18,981
39
$9,781
$18,364
41
$8,897
$17,766
43
$8,003
$17,188
45
$7,099
$16,629
47
$6,185
$16,088
49
$5,262
$15,565
51
$4,328
$15,058
53
$3,384
$14,568
55
$2,430
$14,094
57
$1,466
$13,636
59
$491
$13,192
60
$0
$12,976
The balance stays at or below the estimated value the whole term.
Show data table
Loan balance vs vehicle value — data table
Month
Balance
Value
1
$24,893
$34,426
3
$24,172
$33,306
5
$23,444
$32,222
7
$22,708
$31,174
9
$21,964
$30,160
11
$21,212
$29,179
13
$20,451
$28,229
15
$19,683
$27,311
17
$18,906
$26,422
19
$18,120
$25,563
21
$17,326
$24,731
23
$16,524
$23,926
25
$15,713
$23,148
27
$14,892
$22,395
29
$14,063
$21,666
31
$13,225
$20,961
33
$12,378
$20,279
35
$11,522
$19,620
37
$10,656
$18,981
39
$9,781
$18,364
41
$8,897
$17,766
43
$8,003
$17,188
45
$7,099
$16,629
47
$6,185
$16,088
49
$5,262
$15,565
51
$4,328
$15,058
53
$3,384
$14,568
55
$2,430
$14,094
57
$1,466
$13,636
59
$491
$13,192
60
$0
$12,976
Monthly payment by term
The same amount financed and APR across common terms — longer terms lower the payment but raise total interest.
Payment by term
Term
Payment
Interest
36mo
$774
$2,610
48mo
$599
$3,492
60mo
$494
$4,393
72mo
$424
$5,310
84mo
$375
$6,246
From $774/mo at the shortest term to $375/mo at the longest.
Show data table
Monthly payment by term — data table
Term
Payment
Interest
36mo
$774
$2,610
48mo
$599
$3,492
60mo
$494
$4,393
72mo
$424
$5,310
84mo
$375
$6,246
Compare loan terms
Same amount financed and APR across common terms. A lower monthly payment usually means more total interest and longer underwater.
Auto loan term comparison in USD
Term
Monthly payment
Total interest
Total paid
Extra interest vs shortest
Risk note
36 mo
$773.89
$2,610
$27,860
—
Higher payment, least interest. Builds equity fastest.
48 mo
$598.80
$3,492
$28,742
+ $882
Higher payment, least interest. Builds equity fastest.
60 mo · yours
$494.05
$4,393
$29,643
+ $1,783
A common balance of payment and total interest.
72 mo
$424.45
$5,310
$30,560
+ $2,700
Lower payment, more interest; higher chance of being underwater.
84 mo
$374.95
$6,246
$31,496
+ $3,636
Lowest payment, most interest; long stretch likely underwater — highest risk.
Cash rebate vs low APR
Manufacturers often let you take either a cash rebate or a low promotional APR — not both. This compares the total cost of each over your term (60 months), on a $26,750 loan before the rebate.
$
Offered if you skip the low APR.
%
The rate you'd finance at if you take the rebate.
%
The manufacturer's low rate.
Rebate vs low APR comparison in USD
Metric
Take the rebate
Take the low APR
Loan principal
$25,250
$26,750
APR used
6.50%
1.90%
Monthly payment
$494.05
$467.70
Total cost over term
$29,643
$28,062
The 1.9% promotional rate costs about 1,581 less over the loan than taking the 1,500 rebate at 6.5%. A low APR often wins on larger or longer loans, where the interest savings outweigh the rebate.
How much car can I afford?
A guideline from your income, target payment share, existing debts, and running costs. Not financial advice — lenders weigh your whole picture.
$
After-tax income each month.
%
A common ceiling is ~15% of take-home.
$
Other loans / card minimums.
$
Optional — a payment you're aiming to stay under.
Enter your monthly take-home income to estimate a comfortable car payment and maximum loan. Running costs used: $0/mo (from the ownership section above).
Amortization schedule
The first 12 months show by default. Open the full schedule for every payment, or the yearly summary for a compact view.
Then add sales tax, dealer and registration fees, a cash rebate, and a trade-in (including negative equity) to see the real amount financed, the cash due today, your total out-of-pocket cost, and your negative-equity risk — compare terms, weigh a rebate against a low APR, check what you can afford, and export an Excel report — in any currency.
Monthly payment, amount financed, and the cash due today
Trade-in equity, negative equity, sales tax, and fees (financed or upfront)
Total purchase cost, total out-of-pocket cost, and underwater risk
Term comparison (36–84 months), rebate vs low APR, and affordability
Full monthly + yearly amortization schedule and an Excel report
Taxes, fees, rebates, and lender terms vary by state and dealer.
Updated 14 June 2026 · Works in any currency
An auto loan calculator estimates your monthly car payment and total cost from the price, down payment, interest rate, and term — and, here, the full deal structure: trade-in and negative equity, sales tax, fees, the real amount financed, the cash due today, and your underwater risk.
At a glance
Formula shown
payment = P × i(1+i)ⁿ / ((1+i)ⁿ − 1) — at 0% APR it is simply P / n.
Scenario support
Trade-in and negative equity, taxes and fees, term comparison, rebate vs APR, and affordability.
Workbook export
10-sheet Excel (XLSX) report
Why a $35,000 car finances $25,250
Take a $35,000 new car at 6.5% APR over 60 months, with $5,000 down, a $1,500 rebate, and a $10,000 trade-in on which $4,000 is still owed, plus 7% sales tax with the trade-in credit applied and $1,000 of fees, all financed. Tax is charged on $35,000 − $10,000, so $1,750. The amount financed is $25,250, cash due today $5,000, the payment $494.05 a month, interest $4,393, and the total out-of-pocket cost roughly $34,640 — under the sticker, because the rebate and $6,000 of trade equity outweigh the tax, fees and interest.
The payment sees that $25,250, never the $35,000 sticker. A trade-in enters as net equity — $10,000 of value against a $4,000 balance is $6,000, working exactly like extra cash down. Owe more than the trade is worth and the shortfall is paid in cash or rolled in, which starts the new loan underwater.
The sticker price, the rebate, the trade-in and the doc fee all vanish into P
Monthly payment
payment = P × i(1+i)ⁿ / ((1+i)ⁿ − 1)
P is the amount financed, i the monthly rate (APR ÷ 12 ÷ 100), n the number of months. At 0% APR it becomes P / n.
Amount financed
P = price − rebate − down − trade equity (+ tax/fees, + neg. equity if financed)
Reductions lower the loan; financed taxes, fees, and rolled negative equity raise it.
Interest is charged on the balance you still owe and the rest of the fixed payment cuts principal, so the split moves from interest to principal down the schedule. Prepayment, under Advanced, applies an extra monthly amount or a lump sum straight to principal and reports the months and interest saved. Simple-interest amortization is assumed; a precomputed-interest loan, its finance charge fixed at signing, does not reward early repayment.
What the payment holds fixed:
Models a fixed-rate auto loan with monthly payments and monthly compounding.
Sales tax is estimated from the rate you enter, applied to the price less the trade-in value where the trade-in tax credit applies; a rebate is assumed not to reduce the taxable price.
A down payment, rebate, and trade-in equity reduce the amount financed; financed taxes, fees, and rolled-in negative equity increase it.
The negative-equity (underwater) estimate uses an assumed depreciation rate, not your specific vehicle’s real resale value.
Results are estimates from the values you enter — not a lender quote or a loan offer.
$774 a month over 36, $375 over 84, and $3,636 more interest for the difference
One $25,250 loan at 6.5% APR across five terms.
Term
Monthly payment
Total interest
Payment cut
36 months
$773.89
$2,610
—
48 months
$598.80
$3,493
−$175.08
60 months
$494.05
$4,393
−$104.76
72 months
$424.45
$5,310
−$69.59
84 months
$374.95
$6,246
−$49.50
Each extra year adds roughly $900 of interest, while the payment cut shrinks as terms lengthen. Take the shortest term you can genuinely cover; if only 84 months fits, the car is too expensive rather than the loan too short.
The $1,500 rebate wins above 2.7% APR at 36 months and above 4.8% at 84
You usually cannot take both: the rebate leaves $25,250 financed at 6.5% APR, declining it leaves $26,750 at the promotional rate, and the break-even is where they cost the same.
Break-even promotional APR against a $1,500 rebate at three terms.
Term
Total paid with the rebate
Break-even promotional APR
36 months
$27,860
2.66%
60 months
$29,643
4.12%
84 months
$31,496
4.75%
Above the break-even the rebate wins, below it the promotional APR does, climbing with the term because $1,500 is worth that once while a rate cut pays every month you still owe — so a rebate tends to win on smaller or shorter loans, a low APR on larger or longer ones. A promotional APR is normally reserved for the strongest credit tiers and a rebate is not, so compare the rebate against the rate you were actually offered — often several points higher, which can swing the answer back to the cash. Run your own numbers.
Why 84 months keeps you underwater: only $238 of the first $375 touches the balance
Negative equity means you owe more than the car is worth: sell, trade or total it while underwater and you cover the shortfall yourself, because insurance pays the car’s value, not your loan balance. Month-one interest is the amount financed times the monthly rate — $25,250 × 6.5% ÷ 12 = $136.77 — identical on every term: the 36-month payment leaves $637.12 against the balance, the 84-month payment only $238.18.
The indicator compares that balance against the vehicle’s value projected at the depreciation rate you set — a smooth annual assumption, not a forecast, so read it as a ranking of terms rather than a prediction. A bigger down payment and a shorter term shorten the period.
A payment you can afford is not a car you can afford
The affordability check runs backwards: from your monthly income, existing debt payments and the share of income you will commit to a car, it returns the payment those support and the price it reaches. A longer term stretches that payment to fit almost any price.
It cannot approve you — it reflects the share you chose, not a lender’s underwriting. Treat it as your own ceiling.
Road tax in India, a provincial rate you enter yourself in Canada, and a car refinance
Switch the region to India and monthly payment relabels to EMI, sales tax to GST / road tax, and the currency defaults to INR; the math never changes, only the labels and default currency. Canada has no such preset — set the currency to CAD and enter the tax yourself, because GST, PST and HST rates vary by province.
A refinance is not what the trade-in, rebate and sales-tax fields assume, but the loan math is the same: enter your payoff balance as the vehicle price, zero the down payment, rebate and trade-in, and add the new rate and term. Ignore the underwater indicator there.
Gap insurance, service contracts and late fees are not in this number
The finance office prices a second set of products after the car’s price is agreed; none reach the payment here unless you type them into the fees field.
Worth saying out loud before you sign anything:
Not included by default: gap insurance, extended warranties or service contracts, variable-rate changes, late fees, and lender-specific charges.
Ongoing insurance, fuel, and maintenance are excluded from the loan itself unless you enter them separately.
Exact sales tax and the treatment of trade-ins and rebates depend on your state — confirm before signing.
It does not guarantee loan approval, a rate, or any specific terms.
Every figure is arithmetic on values you supplied: it cannot see your credit file, the lender’s pricing tiers, or the paperwork you will sign.
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Every figure here is arithmetic on the price, rate, term, tax and fees you enter — this page fetches no live lender or dealer pricing, and the starting values behind the Global, US and India presets are illustrative defaults you can overwrite. The sources below cover the loan terms the result is built from, the simple-interest amortization this calculator assumes, the published rate series behind the US starting rate, the dealer add-ons that inflate an amount financed, and the Indian lending rules that govern an EMI and its disclosed cost. Links open in a new tab.
This calculator is for educational and estimation purposes only. It is not financial, lending, tax, accounting, or legal advice and is not a loan offer or approval. It models a fixed-rate auto loan with monthly payments. Actual loan terms, APR, sales tax, registration and title costs, dealer charges, rebates, insurance, and a lender’s rules can change actual results, and sales-tax treatment of trade-ins and rebates varies by state. The negative-equity (underwater) estimate relies on an assumed depreciation rate and is not a forecast. Confirm all numbers with your dealer, lender, and tax authority before making a financial decision.