« Home page, calculator and conversion
Calculate Sales tax US

Sales Tax States, to calculate sales tax of US States, city and zip code.

salestaxstates.com

Fixed interest auto loan calculation

Car loan calculator

- + -
=
/

Car loan payment frequency and total borrowings

Payment type Payment amount ($) Total loan over period ($) Total interest over period ($) Difference from monthly ($)
Weekly payments
Payments every 2 weeks
Monthly payments
Annual payments

The calculation of the car loan

The calculation of car loan payments is done using the following variables

  • Car amount : The purchase amount of the car (automobile, truck or other)
  • Trade-in vehicle value : The amount offered for the trade-in vehicle or using the value of your actual car to buy another one
  • Trade-in vehicle balance : The remaining amount (balance) or the amount you still have to pay for you current vehicle toward the purchase of another one
  • Down payment : The amount of money you invest in the purchase of the car to reduce the amount of the loan
  • Interest rate : This car loan rate is the standard rate offered by your dealership, seller or your bank, credit union or other financial institution. This rate can be fixed, variable, increasing, decreasing, etc.

Car loan formula

The monthly payment = Loan amount x Car loan rate / Number of payments in the year 1 - (1 + Car loan rate / Number of payments in the year) -Number of payments * Number of years of the term

Example

For example, take a car loan of $25,000, an interest rate of 3% (0.03), a term of 48 months (4 years) and monthly payments (12 payments per year).

25 000 x 0.03 / 12 1 - (1 + 0.03 / 12) -12 * 4 = 62.50 1 - (1,0025) -48 = 62.50 1 - 0.887053263 = 62.50 0,112946737 = 553,36$/month

The car loan

Most buyers of new cars or used vehicles, whether personally or for a business, often need a car loan.

Auto loan rates

It is strongly recommended that you shop around for the best loan that fit your needs. The main criterias are your financial situation, solvency, current promotions, and your ability to take risks based on your car loan payment fluctuation.

Fixed rate

This rate gives you the assurance of equal payments throughout your agreement. The rate does not fluctuate, which makes the planification of your budget easier. However, the majority of fixed rate loans are more expensive than variable rates.

More often, the longer the loan is, the lower the rate and more advantageous from an economic point of view.

The calculation proposed above uses the fixed rate.

Variable rate in Canada

This rate, as its name suggests, is variable and depends primarily on the Bank of Canada's Policy Interest rate. The Policy Interest rate increased greatly between July 2017 and October 2018, going from 0.50% to 1.75% in less than 14 months. Then drastically drop to 0.25 in a single month (March 2020) due to COVID-19. Learn more about recent policy interest rate . < / p>

Whatever the variable rate is considered more risky, it may be advantageous to lean towards this loan solution in order to reduce the fees or upfront payments.

The down payment

This amount spent at the purchase of the automobile, allows to decrease the amount of the loan. There is no minimum down payment in this situation.

Calculators

Canada sales tax

2024

2023

2014 to 2022

2022

2021

2020

2019

2018

2017

2016

2015

2014

Coronavirus COVID-19

GST/HST remittance calculator

Carbon tax rebate

United Kingdom (UK) sales tax

France VAT

Australia GST

Income taxes in Canada

Tax calculators

Alberta (AB)
British Columbia (BC)
Nova Scotia (NS)
Ontario
Prince Edward Island (PEI)
Québec

RRSP, TSFA annuities and insurance

CPP
RRSP
TSFA
Employment insurance
OAS, GIS, Allowances
Basic personal amount
2012 to 2022

Tax calculators

RRSP, annuities and insurance

Paypal Fees and commission

Salary and Work

Gross to net income (salary)

2024
2023
2022
2021
2020
2019
2018

Minimum wage annual salary

2024
2023

Other

Math calculator

Other calculator

By continuing your navigation on Calcul Conversion or by clicking on the close button you accept the use of cookies. x