Auto Refinance Calculator
Compares your current car payment to a refinanced one and shows the new monthly payment and how much you would save each month. Free and accurate.
Calculator by Toolsloft ↗- New payment
- $414.53
- Monthly savings
- $5.47
Compare your current car payment with a refinanced one to see the new monthly payment and how much you would save each month. It is for car owners checking whether a lower rate or different term is worth switching to.
How this is calculated
The new payment uses the standard loan amortization formula on your current balance at the new monthly rate over the new term, and monthly savings is your current payment minus that new payment.
How to use
- Enter your current loan balance and current monthly payment.
- Enter the new annual interest rate and new term in months.
- Read the new monthly payment and your monthly savings.
Examples
- $18,000 at 5% / 48 mo:
new payment $414.53 - vs. $420 current:
saves $5.47 / month
FAQ
- How is the new payment calculated?
- Payment = P·r·(1+r)^n / ((1+r)^n − 1), where P is the current balance, r is the new monthly rate (annual ÷ 12 ÷ 100), and n is the new number of months.
- What is monthly savings?
- Your current monthly payment minus the new refinanced payment. A positive number means the refinance lowers your payment.
- Does a longer term always save money?
- A longer term can lower the monthly payment, but it may increase the total interest paid over the life of the loan.