Car Finance ToolsCalculate

Auto Refinance Calculator

Updated

Refinancing can lower your monthly payment, but extending the term may increase total interest. Compare side-by-side.

Refinancing an auto loan replaces your current loan with a new one, ideally at a lower APR. You save money when the monthly savings recoup any upfront fees before the new loan ends — and you don't extend the term so far that total interest rises.

Estimate only. Estimate only. Not a loan offer, lender quote, dealer quote, lease agreement, retail installment sales contract, DMV estimate, or financial advice. Actual rates, payments, taxes, fees, incentives, residual values, insurance, fuel, and maintenance costs may vary.

Current monthly payment

$542.26

New monthly payment

$511.64

Monthly savings

$30.62

Breakeven

17 months

Total interest difference

-$1,469.76

Net savings (estimate)

$969.76

Cost per $1,000 borrowed

What each $1,000 of balance costs per month.

Current loan (8.50% · 48 mo)
$24.65
New loan (5.50% · 48 mo)
$23.26
Difference
−$1.39

Both terms are 48 months, so this difference is the rate alone.

How this is calculated

We compute new payment from the new principal, new APR, and new term. Breakeven = upfront fees ÷ monthly savings. We also report the total interest difference so you can spot term-reset traps.

Cost per $1,000 borrowed is the same payment formula run on a $1,000 loan at each set of terms. Comparing the two isolates what actually changed. When the new term differs from your remaining term we also show the new rate over your current term, because a lower monthly payment from a longer loan is not the same thing as a cheaper loan.

For when a refinance is actually worth it, read our guide on auto refinance: when it makes sense.

Frequently asked questions

Should I roll fees into my new loan?
Rolling fees in spreads the cost across payments but increases the financed balance and total interest.
What is the breakeven month?
Breakeven is upfront fees divided by monthly savings — the month at which your savings exceed the cost of refinancing.

Related calculators

  • Auto Loan Payment

    Estimate your monthly car payment, total interest, and out-the-door cost from price, down payment, APR, term, trade-in, taxes, and fees.

  • Payoff

    Estimate when you'll pay off your car loan, or what extra monthly amount you need to hit a target payoff date.

  • Amortization Schedule

    Generate a month-by-month auto loan amortization schedule with interest, principal, balance, and cumulative totals. Print or export to CSV.