Car loan calculator
Work out the monthly or bi-weekly payment on a new or used vehicle, and how much interest a longer term really costs.
■ Principal ■ Interest
Year-by-year schedule
| Year | Paid | Principal | Interest | Balance |
|---|
Calculated in your browser. This is an estimate, not financial advice; your lender’s figures are final.
Calculators
Shorter terms save interest
Car loans of 84 or 96 months lower the payment but cost far more interest, and you may owe more than the car is worth for years. Try changing the term above to compare 48, 60 and 84 months.
Remember to budget for sales tax, registration and insurance, which are not included here.
The payment formula
payment = P × r ÷ (1 − (1 + r)−n), where P is the amount borrowed, r is the interest rate per payment period and n is the number of payments.
When interest compounds at a different frequency from your payments, the periodic rate is r = (1 + annual ÷ c)c ÷ p − 1, with c compounding periods and p payments a year.
Frequently asked questions
Is this calculator accurate for my bank?
It uses standard amortization maths, so it should be within a few cents of a lender’s quote for the same rate, compounding and frequency. Fees, insurance and rounding rules can differ.
What is semi-annual compounding?
Interest is calculated twice a year rather than monthly. Canadian fixed-rate mortgages are required to disclose rates this way.
What is amortization?
The total time it takes to pay off the loan if you keep making the same payments. A mortgage term (say 5 years) is usually shorter than its amortization (say 25 years).
Does this include property tax or insurance?
No. It covers principal and interest only.