Calculate your monthly car payment and total cost for any auto loan.
Your credit score is the biggest factor in your auto loan rate. Scores above 720 typically qualify for rates under 5%, while scores below 600 may face rates of 10–20%+. Getting pre-approved from a bank or credit union before visiting a dealership gives you negotiating power.
A 60-month term is the most common, but 72 and 84-month loans are increasingly popular for expensive vehicles. Longer terms lower monthly payments but significantly increase total interest paid and risk being "underwater" (owing more than the car is worth).
New car loans typically have lower interest rates (2–6%) than used car loans (4–12%) because new vehicles have more predictable value. However, new cars depreciate 15–25% in the first year, so a certified pre-owned vehicle often offers better overall value.