Car Loan Payoff Calculator
Find out how long it will take to pay off your remaining balance on your auto loan and what it will take to pay your car off early. With this car loan early payoff calculator, you can see how many months it will take to pay your car or truck off. You will also see the exact date your loan will be paid in full.
Car Loan Payoff Calculator
Loan Payoff Results
How to Use the Car Loan Payoff Calculator
- Enter the Loan Amount: Enter the total amount borrowed for your car loan. For example:
$25,000
. - Provide the Annual Interest Rate: Enter the yearly interest rate (APR) for your loan. Example:
4.5%
. - Specify the Loan Term: Enter the total length of your loan in months. Example:
60 months
. - Add the Monthly Payment: Enter the amount you pay toward your loan every month. Example:
$500
. - Optional – Extra Monthly Payment: Add any additional amount you plan to pay each month to reduce the loan balance faster, the higher this number is the faster your auto loan will be paid off. Example:
$100
. - Click “Calculate Payoff”: The calculator will display:
- Total interest paid over the loan term.
- The total number of months required to pay off the loan.
- The exact date when your car loan will be fully paid off.
- How extra payments impact your payoff timeline and interest savings.
Examples:
- If you have a $20,000 car loan at 5% interest over 48 months with a $450 monthly payment will be paid off in 48 months. Making an extra $100 monthly payment reduces the term to 41 months and saves $714 in interest.
- A $30,000 car loan at 3.5% interest over 60 months with a $550 monthly payment will be paid off on its original schedule unless extra payments are added.
- For a $15,000 loan at 6% interest over 36 months with a $500 monthly payment, adding $50 extra each month saves $204 in interest and reduces the term by 2 months.
Paying off a car loan is one of the best feelings in the world. It can give you a sense of euphoria because you accomplished something significant after many years and now own an asset.
Buying a new car is an exciting experience, but that new set of wheels comes with an unpleasant
addition. When you drive off the lot, you can rest assured you will be paying for that new set of
wheels for the next three or four years, or even for five years or longer.
That long stretch of car payments can be disconcerting, and at some point you might be looking
for a way to pay your car off early. But before you pay off your car loan, there are a number of
things to consider, and those considerations are outlined below.
Find Out if Paying the Car Loan Off Early Really Makes Sense
Many auto loans are front loaded, meaning that the vast majority of the interest is paid in the
early years. If you have already been paying on your car for several years, paying the loan off
now may not save you much money.
Check the loan payment schedule to find out if your financing is front loaded. If most of the
interest has already been paid, you might want to rethink your strategy of paying off the loan. If
not, you can start working on a plan to pay off your car as soon as possible.
Review Your Budget
If you want to pay off your car early, you need to find some extra cash, and the best way to do
that is with a budget. Check your budget carefully and look for places where you could cut back.
Are you willing to forgo that weekly takeout pizza or skip a night out with your friends? Can you
switch to a less costly cell phone plan or trim the cost of your cable and pay TV packages?
Paying off your car early will likely require some tradeoffs, but in the end it will be worth it.
Create a Consistent Payment Plan
If you can double up on your monthly car payments, you can pay off your car in half the time.
That is an aggressive payment strategy, but it can be very effective.
Even if you cannot make double payments, sit down and work out a consistent payment plan.
Whether you put an extra $50 or $100 a month toward your car or do something more aggressive,
you can reduce the length of your loan and own your wheels much more quickly.
Car loans are a fact of life these days, but that does not have to mean paying for years on end. If
you have the money, paying off your car loan early can make a lot of sense, and give you real
peace of mind.