Car Loan Total Interest Calculator
Quick answer: $25,000 at 7.5% APR for 60 months = $500.95/month and $5,056.92 in total interest.
This car loan interest calculator shows how much interest you will pay over the life of your loan. Enter the amount financed, the APR, and the term in months to see your monthly payment, total interest, and total cost — updated instantly.
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Estimate — principal and interest only. Fees, taxes, and add-ons are not included.
How to use this calculator
Start with the loan amount: the vehicle price minus your down payment and trade-in — the sum you actually finance. Then enter the APR from your lender and the term in months.
Results update instantly. The totals cover principal and interest only: origination fees, taxes, and add-ons are not included, so add those separately if you want the full out-the-door cost.
How this is calculated
Monthly payment = L × r ÷ (1 − (1 + r)^−n), where r = APR ÷ 12 and n = number of months. Total interest = payment × n − loan amount. Uses nominal APR with monthly compounding; fees and taxes are not included.
Worked example
$25,000, 7.5% APR, 60 months → r = 0.00625 → payment $500.95 → total interest $5,056.92.
Reference data
No external dataset applies — the standard amortization formula is computed from your inputs. Constants used: 12 months per year; nominal APR with monthly compounding.
Method & sources
Plain words: your loan amount is spread across the term with interest compounding monthly at APR ÷ 12. Every figure is computed from your inputs — there is no external rate table.
- All figures are computed from the values you enter, in your browser — no external data sources are used.
- Nominal APR with monthly compounding is the standard convention for auto loan quotes.
Frequently asked questions
APR vs APY — which does this use?
Nominal APR with monthly compounding, the standard for auto loan quotes.
Are fees included?
No — the result covers principal and interest only. Add origination fees or taxes separately.
Does a shorter term save interest?
Yes — fewer months of compounding means less total interest, though the monthly payment rises.
What about my down payment?
Subtract it from the vehicle price first, then enter the financed amount here.