Calculate your monthly car payment and see the true cost of financing
Auto loans typically range from 36 to 84 months with interest rates depending on your credit score, the vehicle age, and the lender. New cars generally qualify for lower rates than used cars. A shorter loan term means higher monthly payments but significantly less total interest paid.
Financial experts recommend keeping your total car payment (including insurance) below 15% of your take-home pay. The total cost of the vehicle including interest and taxes should also be considered, not just the sticker price.