Car Loan Calculator

How to use this car loan calculator

Enter the vehicle price, your down payment, the APR and the loan term in months. The monthly payment, total interest, total amount payable and a year-by-year balance chart update instantly.

How the numbers work

• Amount financed = vehicle price − down payment.
• Monthly payment uses the standard amortization formula on the amount financed.
• Total interest = total of all payments − amount financed.

Estimates use standard formulas. Your actual APR depends on your credit profile, the lender and the term, and sales tax and fees will add to the total — confirm the final figures with your lender or dealer.

Frequently Asked Questions

How is my monthly car payment calculated?

The amount financed (vehicle price minus down payment) is amortized over the term using the standard formula: M = P × r × (1+r)ⁿ ÷ [(1+r)ⁿ − 1], where r is the monthly rate (APR ÷ 12) and n is the number of months.

How much should I put down on a car?

A larger down payment lowers the amount financed, your monthly payment and the total interest you pay. Many buyers aim for around 10–20% of the price, and a bigger down payment also reduces the risk of owing more than the car is worth.

What is APR and why does it matter?

APR (annual percentage rate) is the standardized cost of borrowing, including interest and most compulsory fees. It lets you compare loan offers on a like-for-like basis — a lower APR means a cheaper loan.

What loan terms are common in Canada?

Canadian auto loans commonly run 36 to 84 months. A longer term lowers the monthly payment but increases the total interest you pay, so weigh the monthly cost against the lifetime cost.

Does this include taxes or fees?

No. This calculates interest on the amount financed only. GST/HST or PST, licensing, dealer fees and any add-ons are not included and will add to your true cost.