Calculate your monthly car payment with down payment, trade-in value, and sales tax. Perfect for new and used car purchases.
An auto loan allows you to purchase a vehicle by borrowing money from a lender and repaying it over time with interest. Your monthly payment is determined by the vehicle price, down payment, loan term, interest rate, and additional costs like sales tax and fees.
Understanding how these factors work together helps you budget effectively and negotiate better deals. A larger down payment or shorter loan term can significantly reduce your total interest costs.
Our calculator computes your complete monthly car payment using the standard auto loan formula:
Loan Amount = (Vehicle Price - Down Payment - Trade-in) × (1 + Sales Tax Rate)
Where:
• Vehicle Price = Total cost of the car
• Down Payment = Initial cash payment
• Trade-in Value = Value of your current vehicle
• Sales Tax = Your local sales tax rate
Typically lower interest rates (3-5%) with terms from 2-7 years. Higher depreciation but better reliability.
Slightly higher rates (4-8%) with shorter terms. Lower depreciation and better value.
Lower your interest rate after purchase. Good option if your credit score improved.
Aim for 20% down on new cars, 10% on used cars. This reduces your loan amount and monthly payments.
Know your credit score before shopping. Scores above 720 get the best interest rates.
Secure financing from your bank or credit union before visiting dealerships for better negotiating power.
Calculate your monthly car payment
Read our comprehensive auto loan negotiation guide with expert tips and real examples.
Read Negotiation Guide →