David Chen is a Certified Financial Analyst with over 10 years of experience in financial analysis and planning.
This calculator helps you determine your monthly loan repayment and total repayment amount, including extra payments toward your loan principal.
Auto Loan Repayment Calculator with Extra Payments
Auto Loan Repayment Formula
The formula for calculating monthly payment is:
PMT = [P × r × (1 + r)^n] / [(1 + r)^n – 1]
Formula Source: Investopedia
- P: Loan Amount (Principal)
- r: Monthly interest rate (Annual rate / 12)
- n: Total number of payments (loan term × 12)
Related Calculators
What is Auto Loan Repayment?
Auto loan repayment is the process of paying off a loan that was taken to purchase a vehicle. The repayment amount depends on the loan amount, interest rate, loan term, and any additional payments made toward the principal.
How to Calculate Auto Loan Repayment (Example)
- Step 1: Enter your loan amount, interest rate, loan term, and extra monthly payment.
- Step 2: Click “Calculate” to see your monthly payment and total repayment.
- Step 3: View the calculation steps and the total cost of the loan.
Frequently Asked Questions (FAQ)
What is the impact of extra payments? Extra payments toward the principal reduce the total interest paid and shorten the loan term.
Can I change my extra payment amount? Yes, you can adjust the extra payment amount at any time to see how it affects your loan repayment.
What is the total cost of the loan? The total repayment is the sum of all monthly payments, including interest and any extra payments made toward the principal.