# Car Finance Calculator

> Monthly car finance payments, total interest and total cost for any car price, deposit, rate and term.

URL: https://paycheck-math.com/uk/car-finance-calculator/  
Breadcrumbs: Home > United Kingdom > Car Finance Calculator  
Language: en-GB  
Rates checked: 2026-10-25  

Monthly payment, total interest and the full cost of the car, including sales tax, trade-in and fees.

## Result with default inputs

Inputs: price=25000, down=4000, trade_in=0, sales_tax_rate=0, fees=0, rate=7, months=60

**Monthly payment: £415.83**

- Total interest: £3,949.51
- Total cost of the car: £28,949.51

| Line | Item | Amount |
| --- | --- | --- |
| 1 | Sales tax | £0.00 |
| 2 | Amount financed | £21,000.00 |
| 3 | Total interest | £3,949.51 |
| 4 | **Monthly payment** | £415.83 |


To compute other inputs, call the JSON API: `https://paycheck-math.com/api/v1/calculate?path=%2Fuk%2Fcar-finance-calculator%2F&price=25000&down=4000&trade_in=0` or open the page URL with the same query parameters.

## Payments by loan term

_Financing £21,000 at 7% APR_

| Term | Monthly payment | Total interest |
| --- | --- | --- |
| 36 months | £648 | £2,343 |
| 48 months | £503 | £3,138 |
| 60 months | £416 | £3,950 |
| 72 months | £358 | £4,778 |
| 84 months | £317 | £5,623 |

## How it's calculated

1. Sales tax is charged on the price minus the trade-in value in most places.
2. Amount financed = price + tax + fees − down payment − trade-in.
3. Monthly payment = P × r / (1 − (1 + r)^−n), with r the APR ÷ 12.

## Questions people ask

### Is a longer car loan cheaper?

The monthly payment is lower but you pay more interest overall, and you may owe more than the car is worth for longer.

### Does a bigger down payment help?

Yes. It lowers the amount financed, the payment and the total interest.

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Estimates for information only, not tax, legal or financial advice. Check with an adviser or the official tax authority.