Auto loan refinance calculator
Thinking about refinancing your car loan? Enter your balance, current rate and remaining months, then try a new rate and term.
Amortization schedule
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $4,977.31 | $1,283.45 | $17,022.69 |
| 2 | $5,310.63 | $950.13 | $11,712.06 |
| 3 | $5,666.32 | $594.44 | $6,045.74 |
| 4 | $6,045.74 | $214.98 | $0.00 |
When refinancing a car loan pays off
Refinancing a car loan can help if your credit score has improved, market rates have fallen or you were given a high dealer rate. Lenders may limit refinancing on older or high-mileage cars, and some charge fees or require the loan to be a certain age. Check the new loan’s fees against the monthly savings, and avoid extending the term so far that the interest savings disappear.
When refinancing makes sense
Refinancing pays off when the monthly saving recovers the closing costs before you sell or pay off the loan. Divide the closing costs by the monthly saving to get the break-even month. Also check whether you are restarting the clock: a new 30-year loan after 5 years can lower the payment but raise the total interest.
Frequently asked questions
What is the break-even point on a refinance?
It is the number of months of payment savings needed to recover the closing costs. If you will move or pay off the loan before then, refinancing loses money.
Should I refinance into a longer term?
It lowers the payment, but you can pay more total interest. Compare the lifetime savings, not just the monthly payment.
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Estimates from standard loan formulas, not a loan offer or financial advice. Example rates are assumptions: use your own quote.